Unions, including the Public Servants Association (PSA) and other bodies affiliated with Cosatu, Fedusa and Saftu, are also demanding improved benefits for their members. File Picture: Armand Hough / Independent Newspapers
Government has offered a salary increase of 4.7% to the country’s public servants.
The state increased its offer from 3% to 4.7% but this was well below the 12% demand by unions representing around 1.3 million state workers.
Frikkie de Bruin, general secretary of the Public Service Co-ordinating Bargaining Council, told Bloomberg that the government had rejected the civil servants’ demand for a 12% increase in salaries that would take effect on April 1, 2025.
The labour unions then lowered their demand to 7.5%. The various unions have not accepted government's offer.
De Bruin said that some progress between the two parties has been made.
“We think we are getting closer to a settlement range, which could be anything between 5.5% and 6%,” he explained.
Government’s new offer also noted that housing and danger allowances would also increase.
Jannie Oosthuizen, a labour relations officer at the Public Servants Association of South Africa said that government’s latest wage offer was not accepted by its more than 240,000 workers.
The offer was rejected even though the 4.7% pay rise was above South Africa’s inflation rate of 3.8%.
Unions, including the Public Servants Association (PSA) and other bodies affiliated with Cosatu, Fedusa and Saftu, are also demanding improved benefits for their members.
Unions want a higher medical aid subsidy, a R2,500 increase in housing allowances, and an increase in danger pay from R597 to R1,000.
One of the main reason’s government is holding firm on its lower wage offer is its responsibility to rein in South Africa’s debt.
It is expected that the nation’s debt will rise to around 75.3% of gross domestic product (GDP) in 2025-26. The country’s debt accounted for 74.6 % of nominal GDP in June 2024.
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