Business Day

Pay demands ‘will cripple sector’

- ALISTAIR ANDERSON Economics Staff andersona@bdfm.co.za

THE South African Local Government Associatio­n said yesterday it could not meet municipal workers’ demands for a pay increase of 13% without crippling municipali­ties.

THE South African Local Government Associatio­n (Salga) said yesterday it could not meet municipal workers’ demands for a pay increase of 13% without crippling municipali­ties.

Talks between Salga, the Independen­t Municipal and Allied Trade Union (Imatu) and the South African Municipal Workers Union (Samwu) have entered a tough phase, with Imatu publicly stating it was seeking legal advice over the basis for the talks.

Last week Salga said it wanted to negotiate a new agreement on maternity leave and other benefits, and also a new agreement on the disciplina­ry code for staff.

Imatu’s general secretary Johan Koen said Salga was negotiatin­g unfairly. “Salga effectivel­y wishes to ignore all the time, money and resources that went into the establishm­ent of the collective agreements and start again. Imatu cannot accept a blatant move to diminish the existing rights of our members,” he said.

The unions said they could not rule out a strike action if Salga did not at least offer a double-digit pay hike. Municipal workers went on strike in 2010 and last year, but did not get a double-digit wage hike last year.

Salga said local government workers were on average paid a minimum wage higher than the average in the public sector and some private sector industries. Paying large rises would damage how municipali­ties operated.

“Secondly, exorbitant increases run the risk of crippling municipali­ties and even decreasing the probabilit­y of filling vacancies due to depreciate­d funds,” said Salga spokeswoma­n Milisa Kentane.

Since talks began earlier this month, Salga had offered a general pay hike of 4%, later raised to 4,5%. Imatu and Samwu, representi­ng workers at Salga’s local government bargaining council, demanded 13%, down from 15%.

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