Western Cape declares funding dispute on pay rises with government
Premier Winde warns resulting shortfall will affect services such as schools, clinics, hospitals and roads
The DA-led Western Cape government has declared an intergovernmental dispute with national government to secure funding from the Treasury for the public sector pay increase, a large chunk of which provinces have to fund from their existing budgets.
The unbudgeted increase of 7.5% cost the government R37,4bn, contributed to government’s fiscal squeeze and resulted in a R2.9bn rise in the Western Cape’s wage bill this year. ..
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