Whereas the year-on-year growth in welfare payments before 2000 averaged about 6 per cent, it soared to 40,4 per cent in 2001, thereafter decelerating to around 29 per cent to 2005 and 3,4 per cent in 2007. The total number of social grant beneficiaries expanded six fold from 2,409 million in 1996 to 12,386 million 2007.
Excess labor was shed off through voluntary golden hand shake schemes and unprofitable branches were closed down.