Joint Institute for Economic Justice (IEJ), #PayTheGrants, and Socio-Economic Rights Institute (SERI) statement
On Friday, 21 July 2023, the Institute for Economic Justice (IEJ) and #PayTheGrants (#PTG), through their lawyers at the Socio-Economic Rights Institute (SERI), filed court papers challenging regulations that unlawfully and unconstitutionally exclude millions of people living in poverty from receiving the Social Relief of Distress (SRD) grant. The papers filed in the North Gauteng High Court include 79 supporting affidavits from people directly impacted by these regulations. The respondents named in the case are the Minister for Social Development, and the South African Social Security Agency (SASSA).
The founding papers highlight how the regulations that govern the R350 SRD grant’s value, eligibility criteria and application procedures, as well as the manner in which the grant has been implemented, have excluded millions of people, violating their right to social assistance and food as guaranteed by section 27 of the South African Constitution. The Constitution requires the state to progressively realise social assistance for those unable to support themselves.
Fewer people have access to the grant today than was the case at its peak in March 2022. Research estimates at least 16 million people should be eligible for the SRD grant. Yet, in May 2023, while 14.4 million applied for the grant, only 8.4 million were approved, with 7.1 million people actually being paid. This is a dramatic decline from 10.9 million people in March 2022. In addition, the real value of the grant has been eroded due to inflation. Together this constitutes a retrogression of the constitutional right to social assistance. As 93% of grant recipients spend their grant on food, it also negatively affects the right to food.
Government estimates suggest that 18.3 million individuals aged 18 to 59 live below the food poverty line, without access to adequate nutrition. Additionally, 20.4% of South African households experience food insecurity, with 20.9% sending a member to beg for food. Apart from the SRD grant, there is no permanent social assistance available to able-bodied individuals aged 18 to 59 without income.
This marked difference between those in need and the number of beneficiaries paid, in the context of worsening poverty and hunger, is a direct consequence of deliberate actions taken by government to make it as difficult as possible to access the SRD grant. We outline these below. In response, the IEJ and #PTG are challenging the myriad ways rightful beneficiaries and millions of people living in poverty, who are unable to support themselves, are prevented from accessing the SRD grant.
The court papers outline various reasons why eligible people are excluded from receiving the SRD grant, including: (1) the over-broad definition of income used to measure whether an applicant falls below the means-test threshold, (2) unlawful questions in the online application form, (3) the exclusionary online-only application process, (4) flawed bank and database verification processes, (5) a narrow appeals process that excludes relevant new evidence, (6) an arbitrary exclusion of qualifying applicants when funds are depleted, (7) a reduction in the grant’s value over time, (8) an irrational and retrogressive income threshold, and (9) widespread and systemic non-payment of approved beneficiaries.
The applicants, alongside many civil society organisations, have repeatedly raised these impediments to access in good faith with government, in meetings and submissions over the last two years, in the hope that they would be resolved and rectified. Unfortunately, the barriers remain while the situation deteriorates further.
South Africa’s crisis of hunger and deprivation is only growing. Social assistance is our most direct and effective tool for fighting hunger, and the Constitution demands that government progressively realise the right to social assistance and to food.
IEJ Executive Director, Dr Gilad Isaacs, notes that: “Government’s failure to meet its constitutional obligations has forced our organisations to bring this court case. It is hoped the legal proceedings will highlight and secure solutions to the unfair and unlawful exclusion of millions of vulnerable, poor, and hungry people from accessing, and benefitting from the SRD grant.”
In a supporting affidavit, Joleen Sampson, a resident of Eldorado Park in Gauteng underscores how access to the grant, and not individual need, has changed: “Early in 2020, I applied for the social relief of distress grant and my application was approved. Payments came regularly until March 2023. After this, my application status changed to declined due to the system erroneously detecting an alternative source of income, but I am unemployed.”
Vanessa Reece, an SRD grant beneficiary who has also submitted a supporting affidavit, further highlights the inadequacy of the grant’s value: “I have been unable to secure work due to chronic illness. Since developing diabetes, it has been harder to keep in good health. The grant … helps me buy the right food to manage my diabetes. However, it is too little to cover my food and toiletries. No one in my household is employed, this makes it even harder to manage both my health and financial situation.”
For a more detailed account of the applicants’ argument a synopsis of the founding papers can be accessed here, the Notice of Motion here, and the Founding Affidavit here.
[ENDS]
For interview requests please contact:
Dalli Weyers | IEJ Advocacy and Communications Manager | dalli.weyers@iej.org.za | 082 460 2093
Elizabeth Raiters | #PTG Deputy Chair | Elizabeth@paythegrants.org.za | 078 617 5489
Edward Molopi | SERI Senior Communications and Advocacy Officer | edward@seri-sa.org
Amaarah is a Junior Programme Officer in the Rethinking Economics for Africa project. She is currently studying towards her Masters in Applied Development Economics at Wits University. 
Dr James Musonda is the Senior Researcher on the Just Energy Transition at the IEJ. He is also the Principal Investigator for the Just Energy Transition: Localisation, Decent Work, SMMEs, and Sustainable Livelihoods project, covering South Africa, Ghana, and Kenya.
Dr Basani Baloyi is a Co-Programme Director at the IEJ. She is a feminist, development economist and activist. She gained her research experience while working on industrial policy issues in academia, at the Centre For Competition, Regulation and Economic Development (CCRED) and Corporate Strategy and Industrial Development (CSID) Unit.
Dr Andrew Bennie is Senior Researcher in Climate Policy and Food Systems at the IEJ. He has extensive background in academic and civil society research, organising, and activism. Andrew has an MA in Development and Environmental Sociology, and a PhD in Sociology on food politics, the agrarian question, and collective action in South Africa, both from the University of the Witwatersrand.
Juhi holds a Bachelor of Arts degree in International Relations and Sociology from Wits University and an Honours degree in Development Studies from the University of Cape Town. Her current research focus is on social care regimes in the South African context, with a particular focus on state responses to Early Childhood Development and Long-Term Care for older persons during the COVID-19 pandemic. Her other research areas include feminist economics, worlds of work and the care economy.
Bandile Ngidi is the Programme Officer for Rethinking Economics for Africa. Bandile has previously worked at the National Minimum Wage Research Initiative and Oxfam South Africa. He holds a Masters in Development Theory and Policy from Wits University. He joined the IEJ in August 2018. Bandile is currently working on incubating the Rethinking Economics for Africa movement (working with students, academics and broader civil society). 
Liso Mdutyana has a BCom in Philosophy and Economics, an Honours in Applied Development Economics, and a Masters in Applied Development Economics from Wits University. His areas of interest include political economy, labour markets, technology and work, and industrial policy. Through his work Liso aims to show the possibility and necessity of economic development that prioritises human wellbeing for everyone.
Joan Stott holds a Bachelor of Business Science in Economics and a Master’s in Economics from Rhodes University. She brings to the IEJ a wealth of experience in public finance management, policy development, institutional capacity-building, and advancing socioeconomic and fiscal justice.
Siyanda Baduza is a Junior Basic Income Researcher at IEJ. He holds a BSc in Economics and Mathematics, an Honours degree in Applied Development Economics, and is currently completing a Master’s degree in Applied Development Economics at the University of the Witwatersrand. Siyanda’s research focuses on the impacts of social grants on wellbeing, with a particular focus on the gendered dynamics of this impact. His interests include applied micro-economics, policy impact evaluation, labour markets, gender economics, and political economy. He is passionate about translating economic research into impactful policy.
Shikwane is a Junior Programme Officer at IEJ focusing on civil society support and global governance in the G20. He has a background in legal compliance, IT contracting and student activism. He holds degrees in Political Studies and International Relations, as well as an LLB, from the University of the Witwatersrand.
Dr Tsega is a Senior Researcher focusing on Women’s Economic Empowerment within the G20. She examines gender equity in economic policy, with expertise in food systems and small enterprise development. She holds a PhD in development studies from the University of the Western Cape, an MA in Development Economics, and degrees in Development Studies and Economics from UNISA and Addis Ababa University.
Nerissa is a G20 Junior Researcher at IEJ, focusing on advancing civil society priorities within the G20 framework. She bridges data, research, and policy to advance inclusive economic frameworks. She is completing a Master’s in Data Science (e-Science) at the University of the Witwatersrand, and holds Honours and Bachelor’s Degrees in International Relations with distinction. She has worked as a Research Fellow at SAIIA and a Visiting Research Fellow at Ipea in Brazil.
Dr Mzwanele is a Senior Researcher supporting South Africa’s G20 Sherpa with policy research. He holds a PhD in Economics from the University of Birmingham and an MSc from the University of the Witwatersrand. His work covers open macroeconomics, trade, finance, and higher education policy, and he has published widely on inequality, unemployment, household debt and higher education curriculum reform.
Kamal is the Project Lead for IEJ’s G20 work, focusing on sovereign debt and development finance. He holds a BComm (Hons) in Applied Development Economics from the University of the Witwatersrand and an Erasmus Mundus Joint Masters in Economic Policies for the Global Transition. He has worked with SCIS, UNCTAD and co-founded Rethinking Economics for Africa.