Unions and Salga come to three-year agreement

THE SA Municipal Workers Union (Samwu) has proclaimed the signing of a wage agreement for the local government sector a victory for its members.

The three-year agreement was sealed on Wednesday after a conciliation process at the SA Local Government Bargaining Council.

The South African Local Government Association (Salga), Samwu, and the Independent Municipal Allied Workers Union (Imawu), had been in protracted discussions over a wage increase since March.

The agreement comes after a failed facilitator process. It will be for three years, starting from July this year.

For the first year, workers will receive a 3.5% increase, and the next two years will be linked to the consumer price index.

Samwu confirmed other benefits.

“A once-off amount of R4 000 for employees earning less than R12 500, and R3 000 once-off for those earning R12 501 and more. A sectoral minimum wage to increase by 3.5% salary increase in the first year of the agreement. The increase will be linked to salary increases in the second and third year of the agreement. And a homeowners allowance of R965,” it said.

The increase will come into effect at the end of October and will be backdated to July.

The union, which has the most members in the sector, had sought a salary increase of R4 000, which is above inflation. It had also demanded a one-year wage agreement, with a R15 000 sectoral minimum wage.

Despite not receiving its demands, Samwu has labelled this agreement as having met its demands.

Salga welcomed the three-year agreement, instead of a one-year agreement. It said it would ensure the financial viability of many municipalities.