OPEN LETTER: Dear President Cyril Ramaphosa, please revisit our pay differentials By Daily Maverick Reader
You may not remember me, but in 1981 we both participated in a mediation workshop in Johannesburg which resulted in the creation of the Independent Mediation Service of SA in 1983. Eventually, in 1996, the Commission for Conciliation, Mediation and Arbitration was created by statute and has proved to be most effective in resolving disputes of right and interest.
There is one important issue that I would like to bring to your attention because I believe there has been and continues to be a serious misunderstanding regarding pay differentials. Legally, employers and senior management are obliged to eliminate all differentials that are disproportionate within the so-called seven “occupational levels”, but they are really decision-making levels.
This resulted in the belief that to eliminate the “wage gap” and ensure a rational and justifiable relationship between pay and actual work, there needed to be a constant proportional differential across all the seven levels. Unfortunately, when the Employment Equity Act of 1998 was promulgated, it only provided for six categories and occupational levels. It did not take long to scrap the categories, but the six levels remained, presumably based on the false assumption that this was acceptable.
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