Today's Labour News

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southafricalogoCity Press reports that merging of ministries, cutting staff and reducing the number of provinces are part of ‘extreme changes’ mooted to reconfigure the state and drive efficiency.  

President Cyril Ramaphosa and his government are looking to cut the public service wage bill and, to this end, plan to entice civil servants who want to leave with attractive settlement offers.  A raft of other measures to slash the state’s costs are now on the cards, including: collapsing a number of departments; dramatically cutting the 34-member Cabinet after the elections; and reducing the number of provinces.  A powerful economic department is set to be formed by a merger of the departments of small business, trade and industry, tourism and economic development.  Minister of Public Service and Administration Ayanda Dlodlo indicated on Friday that she had not yet presented her advice to Ramaphosa on which departments should stay and which should go.  She said though that circulars had been sent to all government departments, explaining a new mechanism for civil servants who wanted to retire early, but who did not want their retirement packages to be penalised by the tax man.  But the state is gearing up for a battle with labour federation Cosatu, which was up in arms last year when it became clear that the public administration department planned to cut state jobs.  Cosatu president Zingiswa Losi reiterated last week that retrenchments were not a solution the federation would accept.

  • Read S’thembile Cele’s report on this story in full at City Press

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