Unions fuming as Mboweni reigns in public spending

Unions fuming as Mboweni reigns in public spending

Finance Minister Tito Mboweni announced plans to cut the public sector wage bill by 1% over the next three years.


Tito Mboweni
Pic Courtesy: GCIS

Mboweni tabled his latest budget in the National Assembly on Wednesday.


As part of Mboweni’s plans to reign in government spending, the public service bill will be adjusted by R160 billion in the medium term.


"We aim to save R37.8 billion in the next financial year. There is more than one way in which this goal can be achieved.


"Organised labour understands where we are. They have made constructive proposals on a range of issues," he says.

But news of cut in the wage bill has not been received well by South African Federation of Trade Unions (SAFTU) general-secretary Zwelinzima Vavi.


He labelled the announcement as nothing short of a declaration of war.


"Cutting numbers and freezing posts is to say that you are declaring war against public servants. This is at a time where where workers are servicing more members of the community," said Vavi.


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