Today's Labour News

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southafricalogoFinancial Mail writes that civil society is backing the move by Department of Public Service & Administration Minister Senzo Mchunu to canvass public opinion to break the deadlock in the public sector wage talks.

The Organisation Undoing Tax Abuse (Outa) has written to Mchunu, urging him to "stand his ground" over a zero pay increase, and has outlined "factors that support this stance". According to Outa’s Wayne Duvenage, the public and taxpayers are largely responsible for footing the "bloated government wage bill" so "it is only right that they have input when it comes to public service salaries and bonuses". Deadlock was reached at the Public Sector Co-ordinating Bargaining Council recently, when the government tabled a 0% cost-of-living adjustment for 2021/2022. The unions are demanding an increase of inflation (CPI) plus 4%. They also want a R2,500 housing allowance, a 12% of basic pay risk allowance during national disasters such as Covid, and the filling of all vacant public service posts. In a novel move, Mchunu then called on the public to propose ways to break the impasse. Cosatu unions and the Public Servants Association (PSA) were incensed. Labour analyst and DA deputy labour spokesperson Michael Bagraim said Mchunu’s call for public input on the matter was a wise move. "It’s going to look very bad if he signs an agreement and then says: ‘Hey, I’m sorry, I have got no money (to implement the deal).’ The public will probably say: ‘Look, you don’t have money, you must not sign.’" According to Bagraim, most of the small businesses he has dealt with were paying increases of 2% to 3%. University of Johannesburg political analyst Prof Mcebisi Ndletyana noted that by that by calling for public input Mchunu was anticipating a strike.

  • Read the full original of the report in the above regard by Luyolo Mkentane at BusinessLive (paywall access only)


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