Government submits new salary increase offers for civil servants

JOHANNESBURG – Eyewitness News understands that the government has officially tabled salary increase offers of up to 7.5% for the majority of civil servants, with some limited to 6%.

Although the bulk of the proposals build on the R1,000 disposable income introduced last year, if accepted it would benefit some of the lowest paid workers.

The public sector wage bill remains one of the contentious spending items for the government, plans to cut are proving elusive.

While the Treasury has earmarked around R20.5 billion to fund wage adjustments for 2022/2023, the new proposals could see the figure rise by more than R7 billion.

Unions have sent negotiators back to the drawing board after the initial offer of 4.5% or R1,000 after tax last month demanding the employer find more money.

Sources in the negotiations told Eyewitness News that when talks resumed on Monday evening an offer of a cost of living adjustment of 1.5% plus the 1,000 rand gratuity from April 1 was made.

This represents an increase of 6%.

However, those eligible for wage progression were offered 3% cost-of-living adjustments plus the R1,000, which equates to 7.5%.

This group represents the majority of the 1.2 million public service employees.

Unions had filed initial demands for 10% raises and housing allowances of R2,500, among others, including a disaster pay for COVID-19 which amounted to R160 billion.

The unions are likely to compromise on the demands as the compromises intensify.

Negotiations will continue on Wednesday.