Tshwane LOSES bid to not implement salary increases
City of Tshwane has failed to prove to the bargaining council that it cannot afford salary increases that was meant to implement on 1 July.
The South African Local Bargaining Council, has dismissed an application by the City of Tshwane to be exempted from having to pay salary increases to municipal employees.
Tshwane mayor has repeatedly pleaded poverty due to the City’s financial standing and it could therefore not be able to afford an addition R600million salary bill.
SAMWU FEELS VINDICATED
In 2021, the Council has instructed municipalities to implement 3,5%, 4,9% and 5,4% salary increase for 2021,2022 and 2023 respectively. The City has failed to implement the final increment as of the 1 July 2023.
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The South African Municipal Workers Union(SAMWU) has welcomed the Senior Commissioners decision and says they feel vindicated as they have consistently called for the municipality to make the payment.
“We implore the City and its management to do the right thing and comply with the collective agreement and the SALGBC ruling” says SAMWU general secretary, Dumisane Magagula.
According to the union, it failed to convince the Council as the Commissioner pointed out that the City had budgeted just over R12 billion for salaries in the last financial year, and had a surplus of around R1,1 billion.
“If Brink and his administration really respect collective bargaining and the wellbeing of employees, the ruling of the SALBC and the collective agreement would be implemented immediately.
CITY OF TSHWANE RESPONDS
The City has since expressed its disappointment at the councils ruling as it believed they presented strong evidence.
In a statement it says,”The City’s financial position is exceptionally fragile and as such, embarked on extensive cost cutting measures by reducing budgets by 30%”.
Mayor Cilliers Brink has promised to take the decision up for review with the labour court, as a panelist in the council acknowledged the City’s financial situation