Tender Summary: Remuneration and Benefits

Objectives

The primary objective is to execute a comprehensive salary benchmarking exercise and review merSETA’s remuneration and service benefits over a six-month period. The project aims to deliver data-driven compensation strategies, actionable recommendations for salary adjustments, and detailed financial impact assessments aligned with current market standards.

Scope

The appointed service provider will benchmark merSETA’s compensation framework against a minimum of twenty-seven comparator organisations, comprising the thirteen largest Sector Education and Training Authorities (SETAs), ten Metal and Engineering sector enterprises, and four levy-funded public entities. The scope encompasses:

• Reviewing 135 distinct job titles across multiple occupational categories for a workforce of approximately 290 to 315 employees.
• Providing comprehensive reporting and recommendations on benchmarked salaries, service benefits, and non-salary remunerations.
• Conducting financial impact and cost-benefit analyses for proposed compensation adjustments.
• Facilitating virtual or in-person stakeholder consultation sessions to gather feedback and refine recommendations.
• Presenting final findings to union representatives, human resources personnel, executive management, and governance structures.
• Advising on salary review best practices, market alignment strategies, and methodologies for managing employees positioned above or below recommended salary bands.
• Evaluating and recommending improvements to allowances, pension/provident fund contributions, and other industry-standard benefits.

Technical Requirements

Bidders must submit a fully compliant proposal meeting the following mandatory and administrative criteria:

• Submission of completed and signed Standard Bidding Document (SBD) forms, specifically SBD 1, 4, 6.1, and 7.1.
• Provision of a valid Broad-Based Black Economic Empowerment (B-BBEE) certificate or CIPC-issued affidavit. B-BBEE is a government-mandated framework designed to redress historical inequalities through economic participation.
• Submission of verifiable client reference letters (dated 2019 to present) on official company letterheads confirming delivery of similar remuneration and benefits projects.
• Detailed project methodology, implementation approach, and a high-level project plan clearly indicating milestones and indicative timelines.
• Firm pricing schedule inclusive of VAT, with offers remaining valid for sixty calendar days from closing.
• Compliance with the 80/20 preference point system, where eighty points are allocated for price competitiveness and twenty points for specific socio-economic goals (e.g., black ownership, women ownership, youth ownership, and disability inclusion). A minimum technical functionality score of seventy percent is required to advance to price evaluation.

Skills Requirements

The procurement places strict emphasis on specialist expertise and proven industry credentials:

• The bidding entity must demonstrate substantial experience in developing, designing, and implementing remuneration practices and salary benchmarking exercises, evaluated based on years of operational history.
• The Lead Consultant must hold a recognised qualification as a Remuneration and Employee Benefits Specialist at National Qualifications Framework (NQF) Level 7 or higher. NQF 7 denotes advanced theoretical knowledge and complex problem-solving skills equivalent to an honours degree or postgraduate diploma.
• Candidates must possess additional professional certifications, specifically either a Global Remuneration Pay (GRP) Specialisation or a Certified Compensation Professional (CCP) designation. These are internationally recognised credentials validating expertise in global pay strategy and compensation management.
• A valid certificate of good standing with either the South African Reward Association (SARA) or the Institute of People Management (IPM) is mandatory. SARA and IPM are premier professional bodies dedicated to reward management, compensation strategy, and people development in South Africa.
• The Lead Consultant must demonstrate more than eight years of specialised experience in remuneration and benefits consulting.
• All project team members must submit detailed curriculum vitae highlighting relevant qualifications and practical experience in compensation strategy, benchmarking, and stakeholder advisory services.