Today's Labour News

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MboweniEWN reports that Finance Minister Tito Mboweni will deliver his Budget Speech on Wednesday with the critical issue of the public wage bill still in limbo ahead of a Constitutional Court appeal by trade unions.

His October announcement that government would not be increasing workers’ salaries led to a series of events, including a court battle, however, experts say that a way to cut the bill must still be sought. Mboweni has made no secret of his intention to slash the bill, which tripled between 2007 and 2019. But the problem is that efforts to achieve this have not been bearing fruit. An early retirement plan failed to take off, while the Constitutional Court matter is the culmination of a court battle after Treasury refused to effect salary increases. Meanwhile, there are concerns about what the minister can actually do without provoking a deeper fallout with public sector trade unions. New wage negotiations on the horizon also mean a renewed fight, with unions arriving at the table with knowledge of Treasury’s intention to slash R160 billion from the bill. The public service employs 1.3 million people.

Read the full original of the report in the above regard by Theto Mahlakoana at EWN


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