The PSA issues threat about ‘actions that will have further dire consequences for the economy’
Public Servants Association of SA members. Picture: SIMPHIWE NKWALI
“[The] government’s deathly silence is posing an increasing risk to give rise to actions that will have further dire consequences on the economy,” Public Servants Association of SA assistant GM Reuben Maleka said. The PSA represents more than 230,000 public sector workers. Labour has rejected finance minister Tito Mboweni’s plans to cut the wage bill by more than R160bn over the next three years, saying it would count as a declaration of war if implemented.
Renegotiating the third year of the wage agreement is proposed to cut R37.8bn from the wage bill. This will mean wages would grow 1.5% in real terms in 2020 as opposed to the existing agreement, in which most workers would receive an increase of consumer price inflation plus 1%, and notch increases of about 1%.
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