A once-off cash payment or bonus and a year-long pension holiday are part of a new settlement the government put forward to public servants this week as it moved to resolve the impasse with labour over the contentious third leg of the 2018 wage deal.

The FM understands that the new proposal, put to public sector unions on Monday by the department of public service & administration (DPSA), will reduce the cost of the initial 2018 package from R37.5bn to about R27bn – however, the government has asked for more time to work out the finer details of the proposed settlement, including the costing...

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