A looming municipal strike was averted on Tuesday when the largest local government labour union agreed to a lowered pay rise of 10,5%.
”The key issue that would have caused a strike has been addressed,” chief executive of the SA Local Government Association (Salga) Thabo Mokwena said in Pretoria.
”I think there is agreement that there will be no strike.”
He said Salga and the SA Municipal Workers Union (Samwu) signed the deal in Cape Town earlier in the day after a meeting of the bargaining chamber for local government.
The second worker body, the Independent Municipal Allied Trade Union (Imatu), wanted to consult its membership before giving a final response, Mokwena said.
They were expected to report back by Friday.
Salga and the unions struck a three-year wage deal earlier this year which perched annual increases at the prevailing consumer price index less mortgage costs — plus one percent.
In terms of this agreement, municipal workers were entitled to an 11% raise this year.
But a revision of official consumer inflation figures at the end of April to remove flawed data changed the picture. It led Salga to lower this year’s annual increase to 10,5%, raising the ire of the two unions.
Both bodies were planning to ballot their members this week on a countrywide strike by municipal workers.
Mokwena told reporters an 11% increase would have escalated consumer inflation.
Many municipalities would have had no choice but to put up the cost of their services to afford such a pay rise.
”We are happy that the unions have come to terms with having to accept that the 10,5% increase will be the one that applies.”
The new salaries were effective from July 1, and would be paid to municipal employees.
Mokwena expressed confidence that Imatu would also endorse the salary agreement.
”We need to be able to cajole them. We will bring them on board. I am definitely hopeful that they will come to their senses and agree.”
Mokwena said Imatu represented about 70 000 workers against almost 200 000 Samwu members.
”So, it’s not in Imatu’s interest to strike. We don’t expect them to do so.
”Lowering the increase by 0,5% would save about R98-million –money that could help to improve the lives of quite a number of people,” Mokwena said.
Negotiations on other conditions of service, including pensions, sick leave, maternity leave and retrenchment pay were continuing.
Mokwena expressed confidence that the two camps were moving closer on several of these issues.
This process formed part of an ongoing effort to transform the current municipal dispensation inherited from the apartheid era, he said. – Sapa