While debilitating strikes are not off the table, the country’s largest municipal workers’ unions are hopeful parties will agree during the third and final round of wage talks at the SA Local Government Bargaining Council (Salgbc).
The delivery of basic services such as refuse collection and maintenance of municipal infrastructure, among others, would take a huge knock across the 257 local councils if the 300,000 municipal workers in the country elected to down tools should wage talks reach a deadlock.
Previous strikes by municipal workers have resulted in the Johannesburg CBD being turned into a dump site as disgruntled workers emptied refuse bins onto the streets and embarked on general lawlessness.
The last round of talks between the ANC-aligned SA Municipal Workers’ Union (Samwu) and the Independent Municipal and Allied Trade Union (Imatu), and the SA Local Government Association (Salga) — the employer body representing the country’s municipalities — was scheduled to run from Monday to Friday.
This follows the unions’ tabling a joint list of revised demands for an across-the-board increase of 8% in the first year, the consumer price index (CPI) plus 2% in the second year, and CPI plus 1.5% in years three to five.
Samwu initially motivated for a one-year 15%, or R4,000, wage increase, while Imatu proposed a 10% salary hike.
The inflation rate eased to 5.1% in June from the 5.2% recorded in April and May. The Reserve Bank expects inflation to average 4.9% in 2024.
Samwu general secretary Dumisane Magagula told Business Day on Monday: “We are still at 9%. If we don’t find each other, then the first step would be to consider the facilitator’s proposal. If we don’t accept (the facilitator’s proposal), we will go back to our members for a mandate. They could say declare a dispute and the next step would be a strike.”
Imatu president Keith Swanepoel said: “We are still where we are [at 9%]. We have just resumed negotiations this [Monday] morning. Nothing has happened. We would like a facilitator’s proposal by end of business on Friday, which we will take to our members for consideration. We are always hopeful that parties will find each other.”
The unions rejected a revised offer by Salga in July, saying that it was so poor it could not be taken to members for consideration and that it risked hardening attitudes ahead of this week’s negotiations.
This was after Salga revised its offer from 3.5% to 3.75% during the second round of wage talks in July. The wage increase offer is across the board for all employees excluding managers and senior management.
According to the proposed offer, which the unions rejected “in its totality”, those earning R22,000 a month or below will receive a one-off ex gratia payment of R3,000.
In a subsequent media statement on Monday, Magagula said: “The current offer from Salga falls far short of addressing the financial pressures our members face due to the rising cost of living. As a union, we have been mandated to not settle for anything less than a substantial wage increase that reflects the true worth of municipal workers.
“We firmly oppose any attempts by Salga to exclude financially distressed municipalities from the collective agreement. Such exclusions undermine the principles of collective bargaining and unfairly penalise workers for matters beyond their control.
“Samwu will continue to fight for the inclusion of all municipalities in any agreement reached ... We expect Salga to come forward with a revised offer that genuinely addresses the needs and aspirations of municipal workers.”
Salga has said it remained committed to the negotiations and was open to finding common ground with labour. “Salga’s approach to these negotiations is also premised on the productivity levels of municipalities, linking salary increases to service delivery,” it said.
The wage talks come as most municipalities are grappling with capacity challenges, with the least qualified often presiding over critical departments. This has led in many instances to the collapse of services, including refuse collection, and the provision of drinkable water and sanitation, while systemic looting, corruption and fraud became rampant.
According to the co-operative governance and traditional affairs department, 32 municipalities have faced intervention in terms of section 139 of the constitution and the Municipal Finance Management Act. This is the most extreme form of intervention by the department as it empowers the provincial executive to step in if a municipality cannot approve a budget, provide basic services or meet its financial commitments.
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