Local government wage talks to get under way

The SA Municipal Workers’ Union (Samwu) is expected to start the first round of wage talks this week by demanding a pay hike equal to almost three times the inflation rate.

Parties will meet on Monday at the SA Local Government Bargaining Council, a platform for employers and employees to agree on pay deals and other conditions of employment. 

This follows the Samwu central executive committee resolving at its special meeting in February to demand above-inflation increases, citing workers’ rising cost of living. Its primary demands include a one-year 15% or R4,000 wage increase, whichever is greater; more than double the 5.2% inflation rate recorded in April and May.

The union, representing 160,000 of SA’s nearly 300,000 municipal workers, is also demanding an industry minimum wage of R15,000; that employers cover 70% of employees’ medical aid costs; a R3,000 housing allowance; and the provision of serviced stands for municipal workers to build their own homes to promote “ownership and long-term stability”. 

It is asking for six-month paid maternity, paternity and adoption leave to support “work-life balance and wellbeing”. 

The wage negotiations come against the backdrop of an announcement by Samwu that it had secured a 7% wage increase for its members in the water sector. 

The talks come as the local government sector — which is at the coalface of service delivery — is grappling with tight fiscal pressures, entrenched corruption, maladministration, systemic looting, and poor governance that has resulted in deteriorating service delivery in many municipalities. 

Others struggle to pay staff salaries and employment benefits, deliver basic services such as refuse collection, or provide drinkable water and sanitation. Of the 257 municipalities, more than 120 have cases of corruption under investigation by the Hawks. 

Samwu general secretary Dumisane Magagula said the union hoped the SA Local Government Association (Salga), the employer body representing the country’s local councils, would present municipal workers with a “more favourable offer”. 

“We remain optimistic and committed to securing better working conditions and salaries that bring about material change to the lives of our members and workers in general,” Magagula said.

In 2021 parties in the council signed a three-year wage deal, which expired last month, for increases of 3.5% (2021/22), 4.9% (2022/23) and 5.4% (2023/24). 

The City of Tshwane refused to implement the last leg of the wage deal, saying it lacked the R600m required to implement it, and unsuccessfully applied to the council for an exemption. 

After four months of fruitless illegal work stoppages by Tshwane metro employees, in which municipal property such as garbage trucks and other infrastructure were vandalised and set alight, the employees elected to return to their posts in November. 

Keith Swanepoel and Johan Koen, president and general secretary of the Independent Municipal & Allied Trade Union, respectively, could not immediately be reached for comment.

Salga said it could not comment at this time, given that these matters were “subject to collective bargaining and intense negotiations” which were yet to take place.

The first round of talks is scheduled for July 15-19, the second round July 23-26 and final round August 12-16.

mkentanel@businesslive.co.za