Court challenge against regulations that exclude half of R350 grant recipients

Two organisations have filed a court application challenging regulations they say unlawfully exclude millions of people living in poverty from receiving the R350 social relief in distress (SRD) grant. 

The papers filed by the Institute for Economic Justice [IEJ] and #Paytthegrants in the Pretoria high court on Friday highlight how the regulations governing the grant and the manner in which the grant has been implemented has allegedly led to the violation of the rights of millions to social assistance and food.  

Gilad Isaacs, executive director of IEJ, said the grant, which was extended beyond the end of the national state of disaster to deal with Covid-19, has provided critical relief to poor South Africans.  

However, fewer people had access to the grant than was the case at its peak in March 2022, when 10.9-million people received it. 

Isaacs said research estimated at least 16-million people should qualify for the grant, which is available to people who have an income below R624.

“While in March 2023 about 14-million people applied for the grant, only 8.3-million were approved,” Isaacs said in court papers.

In a media briefing, he said the legal challenge was against the amended regulations introduced on March 29 this year. These regulations define the eligibility criteria and application procedure for receiving the grant. 

IEJ and #Paythegrants stated in their court papers the grant excluded people unable to support themselves and who lived in poverty. 

They also argued the grant has not been increased since it was introduced in 2020 and has not kept up with inflation and the cost of living.  

Isaacs identified nine issues relating to the regulations. One was an over-broad definition of income. 

“Applicants are asked about all sorts of payments, even things such as money borrowed from family and spousal financial payments. These are counted as income.”

In practice, the South African Social Security Agency (Sassa) treats any money paid into an applicant’s bank account as “income” for purpose of verifying insufficient means. 

Another was applications for the grant can only be made online. Isaacs said this disadvantaged applicants who did not have access to devices or connectivity. 

The organisations want to compel the department of social development and Sassa to ensure applications can be made in person in line with the application procedure for other social grants. 

Isaacs said there was an arbitrary exclusion of qualified applicants when funds are depleted.

Regulations made payment of the grant to successful applicants subject to the availability of funding from National Treasury, which in the 2023/2024 budget provided R66bn for 8.5-million grant recipients, yet in effect imposed a cap on grant payments that excluded applicants who qualified after the budget cap has been reached. 

Joleen Sampson, a resident of Eldorado Park who also filed a supporting affidavit, said she had been receiving the grant regularly from 2020 until March this year when her application status changed to “declined” due to the system erroneously detecting an alternative source of income despite her being unemployed. 

She used to be the provider for her children but lost her job during Covid-19. 

“I ask government to approve our declines. Since April, I have been declined. I have been making appeals and there is no answer,” Sampson said. 

Another beneficiary, Vanessa Reece, submitted a supporting affidavit highlighting the inadequacy of the grant’s value. 

Reece said she lost her job before Covid-19 and her husband lost his during the pandemic. 

“The R350 is not enough. You can buy food with it and it is not enough. Government can do better and can increase it,” she said. 

Isaacs said the application was brought reluctantly as a last resort. 

“We have made submissions on regulations. We have had countless meetings with the department. Our colleagues have undertaken brave activist work on this issue. These regulations remain in place and exclusions continue.”  

TimesLIVE