JOHN DLUDLU: Government faces support conundrum as it aims at austerity by stealth
The government has to raise capital to finance the gap between dwindling tax revenues and rising spending, while placating unions
The Labour Appeals Court is set to hear arguments on December 2 between public sector unions and the government over the government’s failure to implement a wage increase agreement. The ruling will set a legal precedent and have big political ramifications.
The government agreed in 2018 to grant public service workers above-inflation wage increases over a three-year period. Now, it is pleading poverty, arguing it cannot afford this year’s increases...