This news aggregator site highlights South African labour news from a wide range of internet and print sources. Each posting has a synopsis of the source article, together with a link or reference to the original. Postings cover the range of labour related matters from industrial relations to generalist human resources.
News24 reports that as Finance Minister Enoch Godongwana delivered his highly contested national budget on Wednesday, trade union federation Cosatu and its alliance partners vehemently opposed the inclusion of a VAT increase.
But, Godongwana announced that VAT would be increased by 0.5 percentage points this year – with a similar-sized hike in 2026, bringing it to 16%. However, the second hike may be reconsidered. On Wednesday, the People Against Budget Cuts (a coalition of civil society organisations), trade unions, social movements and community groups, gathered outside Parliament for the second time to reject a VAT increase and to demand an end to austerity measures negatively impacting citizens. The turnout was smaller than last month, when Godongwana's budget was initially scheduled. Cosatu president Zingiswa Losi said a VAT increase would be detrimental to the poor. "People are languishing in poverty, we have high levels of unemployment in our country that are above 40%, we have high levels of youth unemployment, people cannot afford services. We are saying that a VAT increase will just slash the little income that people are relying on," she pointed out. Lobby groups, including Equal Education, Treatment Action Campaign, Youth Capital, the People's Health Movement and Women on Farms participated in the march. Over 100 000 signatures have been gathered across the country in a demonstration of people's objections to possible budget cuts. Many members of civil movements have called for a budget that would not negatively affect key departments such as health and education.
- Read the full original of the report in the above regard by Marvin Charles at News24 (subscription or trial registration required)
Get other news reports at the SA Labour News home page