Today's Labour News

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southafricalogoMail & Guardian reports that President Cyril Ramaphosa’s administration is planning to lay off 30,000 public servants in the next three years as part of the government’s cost-cutting measures.  

Insiders who attended this week’s Cabinet lekgotla said the treasury has set aside R4-billion for this financial year to kickstart the process of issuing severance packages.  The planned layoffs will apparently reduce the government’s salary bill by R20-billion.  Last year, the treasury announced it was considering the implementation of voluntary severance packages to reduce the public sector wage bill, but attempts to do that failed, prompting the government to opt for “employer initiated” packages.  Those most likely to be affected were the government’s older and more experienced employees.  The proposed job cuts come at a time when the process to reconfigure the government is at an advanced stage and is likely to be implemented after next year’s general elections.  According to government insiders, there are plans to cut the number of departments from the current 36 to between 18 and 24.  The lay-off move is likely to put Ramaphosa on a collision cause with labour federation Cosatu, which supported his bid to become the ANC president in December.

  • Read this report by Dineo Bendile, Paddy Harper & Govan Whittles in full at Mail & Guardian


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