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Social Development DG Faces Dismissal Over Allegations of Dishonesty and Contract Irregularities

NationWatchBy NationWatchOctober 16, 2025No Comments4 Mins Read

The director-general of the Department of Social Development (DSD), Peter Fhumulani Netshipale, is facing possible dismissal just seven months after his appointment, following allegations of gross dishonesty, dereliction of duty, and bringing the department into disrepute.

An internal letter from Social Development Minister Sisisi Tolashe to Netshipale, which has circulated among senior staff, accuses him of serious misconduct and gives him until October 20 to submit written representations.

In the letter, Tolashe warns that if Netshipale fails to “take responsibility,” it could result in his dismissal “to protect the dignity” of her office.

The allegations arise amid ongoing instability in the department, marked by sudden suspensions, secondments, and staff reshuffles. Many insiders claim these actions were driven by the minister through Netshipale since his appointment in March.

Cabinet minutes dated March 26 show that Netshipale’s appointment was approved on a one-year contract, with a remuneration package of R2.259 million per annum, due to his age of 64, which exceeds the standard retirement threshold for public servants.

However, reports indicate that Tolashe issued him a five-year contract instead, despite warnings from senior officials that it would contravene public service regulations.

In May, DA MP Alexandra Abrahams questioned the minister in parliament about the contract duration. Tolashe responded that it was “five years, in line with prevailing prescripts.”

An internal memo sent to DSD staff last week confirmed that the authenticity of Netshipale’s contract had been under investigation and that the cabinet’s decision for a one-year term was binding. “The DG’s contract has been changed to one year, and his contract term will run until March 2026,” the memo stated.

While it was initially suggested that the five-year term was a clerical error, the situation has since shifted. In her formal letter to Netshipale, Tolashe accuses him of personally altering the contract terms without her knowledge.

“Unbeknown to me you decided to sign a contract for five years which has since been varied to a year,” the minister wrote. “On the face of it, your conduct constitutes misconduct of, among others, dereliction of duty, alternatively dishonest conduct and prejudicing the administration and efficiency of the office of the minister.”

The letter outlines three charges against Netshipale: dereliction of duty (or misrepresentation and failure to perform due diligence), gross dishonesty (or failure to maintain trust and faith in the employer), and bringing the department into disrepute by attracting negative media attention.

This week, DSD executive meetings were cancelled as speculation grew that the director-general was being pushed out.

In a statement issued Tuesday night, the department confirmed that the minister had “formally communicated with the director-general regarding serious concerns arising from his conduct” and that she had “applied her mind” before deciding to “institute formal processes in line with the Public Service Act and the Senior Management Service Handbook.”

The statement added that Netshipale had been given the opportunity to make written representations by October 20. “This step reflects the minister’s commitment to upholding integrity, accountability, and good governance within the department of social development,” it said.

The letter further tells Netshipale: “If you own up or plead guilty to the charges, you are invited to use your representations for purposes of mitigation.”

Department spokesperson Sandy Godlwana confirmed the authenticity of the letter but declined to answer questions regarding Tolashe’s previous statement to parliament, in which she confirmed a five-year contract. Godlwana also did not clarify why the change to a one-year contract was only communicated last week.

“As the matter remains internal and under consideration, the department will not comment further at this stage,” she said.

Netshipale has not responded to requests for comment.

Social Development DG Faces Dismissal Over Allegations of Dishonesty and Contract Irregularities
NationWatch

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