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Gordhan pleads with unions

Feb 17 2010 14:51 Marc Hasenfuss

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Cape Town - Finance Minister Pravin Gordhan urged labour unions in the public sector not to put undue pressure on the fiscus by making excessive wage demands.

Speaking at a pre-Budget press conference, Gordhan said wage demands last year overstepped the mark.

"We need to appeal for more moderate settlement that takes into account that SA is emerging very slowly from a recession."

In his Budget speech, Gordhan pointed out that the public sector wage bill - including "the very necessary" adjustments to professionals' salaries - had almost doubled in five years.

"Now that a major revision to public service remuneration is behind us, it will be necessary to moderate salary increases going forward."

He said this was required to ensure funds were also available for growth in public services, so that spending on school books, hospital buildings and infrastructure maintenance was not compromised.

- Fin24.com

 
 
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