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Johannesburg - The Public Servants Association (PSA), representing more than 230 000 public servants, is concerned over the slow pace of public service wage negotiations and the resulting effect on government’s budgeting processes and the speedy implementation of the envisaged agreement.
Unions tabled their wage demands in the Public Service Coordinating Bargaining Council (PSCBC) in September 2014 already with a view to finalise the negotiation process by mid-December 2014. This would have allowed the state as employer to align its budgeting process with the outcomes of the negotiations and avoid delays in the implementation of the agreement.
"The employer has, to date, failed to fully respond to all the demands, thus unduly delaying the negotiating process. Matters such as the medical subsidy which should be implemented in January each year are especially affected by this," said Manie de Clercq, PSA deputy general manager.
At this stage the employer is proposing a three-year salary agreement and is offering to increase salaries only with the projected Consumer Price Index (CPI) for the period.
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"The employer is not making any provision for a real wage increase and the rising cost of living over and above the CPI. In addition to the absurd wage offer by the employer the PSA is also very concerned about the Government Employees Housing Scheme (GEHS) offer currently on the table," said De Clercq.
The draft offer, amongst others, provides that only employees who are currently receiving the allowance will continue to receive it while other current and newly-employed employees without home ownership will not have the allowance paid directly to them. Instead, the allowance will be diverted into a saving facility which will be forfeited in the event of resignation or dismissal.
"Although the employer’s intention with this to promote home ownership over a longer period of time is admirable, the practical realities of employees who will not have enough cash at hand to secure housing by renting is overlooked," said De Clercq.
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Other demands by the unions were met to a very limited extent or ignored. These demands include the equalisation of the medical subsidy for open schemes, an improved bursary scheme, the collapsing of salary levels 1 to 3 and an improvement in maternity and paternity leave.
"Labour informed the employer that we are awaiting a full, written response to all demands. We do not take kindly to the fact that our other demands have been dismissed by the employer as not being affordable," said De Clercq.
The unions rejected the offer in total and indicated to the employer that they cannot even consider this offer.
"We are prepared to fight the employer on behalf of our members as they deserve a proper increase. We indicated that the employer should return with an improved offer at the next meeting of the PSCBC," said De Clercq.
Labour consequently remains with its tabled consolidated demands and parties will return to the negotiating table on January 23 and 24 2015.
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