Public service unions have 21 days to persuade their members to accept or reject the government’s revised, final offer for a 3% across-the-board wage increase after talks at the Public Service Co-ordinating Bargaining Council (PSCBC) on Tuesday.
Frikkie de Bruin, general secretary of the PSCBC — a platform for the employer and unions to discuss and agree on wages and other conditions of employment — said the latest offer to the more than 1.3-million public servants includes a R1,000 after-tax cash gratuity to be in force until the pay agreement expires on March 31 2023.
The 3% offer — the government previously tabled a 2% hike in the cost-of-living adjustment — mirrors the recent 3% pay increase, backdated to April 2021, for ministers and deputies, premiers, MECs, MPs, MPLs, traditional leaders and judges.
It is also below the 6.5% headline inflation rate the Reserve Bank forecast for 2022, and firmly in line with the cash-strapped government’s budgetary commitments to restrict growth in the R665bn public sector pay bill, which eats up more than a third of its spending, to an average annual rate of 1.8%.
“Trade unions now have the opportunity to consult their members and seek mandates on the provisions of the agreement. The consultation process must be concluded within a 21-day period,” De Bruin said.
“The PSCBC will pronounce on the outcomes after the consultation period or as and when the agreement reaches a majority. The PSCBC would like to express our appreciation towards the parties for their commitment and dedication to the negotiations process. We also want to thank public servants for their patience with allowing parties to amicably conclude on this matter.”
The Public Servants Association (PSA), which represents more than 235,000 public servants, and Cosatu affiliates, initially demanded a 10% pay hike but trimmed their demands down to 6.5% recently. The unions flatly rejected the previous 2% offer by the government, saying it would do little to address the rising cost of living with fuel, transport, electricity and food prices shooting through the roof.
This resulted in unions in economic sectors such as energy, automotive, steel and engineering demanding inflation-beating increases to address the plight of the working class and the poor.
PSA assistant GM Reuben Maleka told Business Day that employer representatives stressed in talks at the bargaining council on Tuesday that “this is their last offer”.
“So, in all fairness, we are going to subject this offer to our members’ mandate. We have 21 days to do so. Based on the outcomes of that process, we shall chart a way forward,” Maleka said.
The PSA lodged a dispute at the PSCBC in July after rejecting the government’s 2% offer and R1,000 after-tax cash gratuity. The state argued at the time that this equated to a combined 6.5%.
Department of public service & administration spokesperson Moses Mushi said: “Our policy is that while negotiations are still continuing in the bargaining council we do not comment on the matter.”
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.