The SA Municipal Workers’ Union, the largest local government union, has accused the City of Tshwane of undermining collective bargaining after the capital city’s administration applied to be exempted from implementing a multiterm wage deal reached in 2021.
Samwu, the Independent Municipal and Allied Trade Union (Imatu) and the SA Local Government Association (Salga), a body representing the country’s 257 municipalities, agreed on a 3.5% pay hike deal at the SA Local Government Bargaining Council in September.
While the City of Johannesburg implemented the 3.5% wage rise, according to Samwu’s acting Joburg regional secretary Thobani Nkosi, Tshwane has not implemented the three-year wage deal which will see increases in the outer years of the agreement based on the inflation outlook and projections by the SA Reserve Bank.
In July 2020, the metro implemented a 6.25% pay rise that increased the city’s wage bill by R45m a month. The 6.25% increase was part of the last leg of a three-year wage hike agreement signed at the Bargaining Council in 2018.
In August 2020, the capital city bowed to pressure from unions to implement an agreement aimed at putting Tshwane municipal employees’ wages on par with those of other top municipalities in the country.
The decision, which cost the city R300m to implement, was described at the time as likely to put an extra strain on the metro’s finances that were already under pressure as residents, companies and government departments struggled to pay for services during the Covid-19 lockdown.
During a joint media briefing in Johannesburg on Tuesday, Samwu’s Tshwane and Joburg regional leaders said collective bargaining was under threat in Joburg and Tshwane. The two metros, together with Ekurhuleni, fell under DA-led coalitions after the 2021 local government elections.
Samwu’s Tshwane regional secretary Mpho Tladinyane said “right-wing” elements were trying to assert themselves in both cities.
“Collective bargaining is under threat. We won’t allow the metros to reverse our hard-won gains,” said Tladinyane.
“We are prepared to wrestle the employer, whether the executive mayor is female or male — we don’t care. We will fight whoever stands in our way as Samwu, in defence of collective bargaining.”
Samwu Tshwane chair Nkhetheni Muthavhi said the union would ensure that the Tswhane metro “implements the wage agreement”.
Tshwane acting chief of staff Jordan Griffiths told Business Day that the metro applied for exemption as it had not budgeted for pay increases.
“When our budget was approved by all political parties in council, for the beginning of this financial year which started on July 1 2021, we did not make provisions for salary increases,” Griffiths said.
He said the city’s finances were under tremendous strain.
“When the wage agreement came to us, immediately we had to consider whether or not we could afford it. We cannot,” Griffiths said. The city would have to fork out R460m more than it had not budgeted.
“The city is making sure we follow through with all labour processes that are available to us. We haven’t done anything illegal or committed any form of unfair labour practice,” he said.
“Everything we are doing is in terms of the law and in terms of the rights we are allowed as the employer. We are certainly not hellbent on undermining any form of collective agreements. Internally, employees are well aware of why the city is doing this.”
mkentanel@businesslive.co.za
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