Tshwane takes Bargaining Council salary exemption ruling on review
The City of Tshwane says it will approach the Labour Court to set aside the ruling of the South African Local Government Bargaining Council which upheld the order that the City must pay workers their 5.4% salary increases.
In July, the SALGBC gave the municipality 10 days to pay the wage hike agreement which was struck in 2021, however the City filed an application for exemption claiming it does not have money for the increments.
The order directs the City to pay workers’ increases as follows: Salary increase of 5.4% effective from 1 July 2023, increase of minimum wage to R9531.54, homeowners’ allowance be increased to R1011.77, all linked benefits and conditions of service to be increased by 5.4% effective from 1 July 2023.
Workers affiliated to the South African Municipal Workers’ Union (SAMWU) have been on an illegal strike since July.
The strike has led to an interruption in the delivery of services in the city, including electricity outage repairs, water restoration, and refuse removal.
"This is disappointing as the city has presented solid arguments supported by evidence as to why these increases are unaffordable," said City spokesperson Selby Bokaba
The city’s financial position is exceptionally fragile and, as such, we embarked on an extensive cost cutting exercise by reducing budgets by 30% across departments."
"It is worth noting that the panelist acknowledges the city’s liquidity challenges, but in the same vein ordered the city to honour the collective agreement. "
Bokaba says they are shocked by the panel to dismiss the city’s exemption application.
"This ruling clearly provides grounds for review. The city will immediately begin the requisite work to approach the Labour Court on an urgent basis to review this ruling."
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