https://newsletter.en.creamermedia.com

Govt workers lose Constitutional Court bid to enforce wage agreement

28th February 2022

By: News24Wire

  

Font size: - +

The Constitutional Court has ruled against public sector trade unions in their bid to force government to honour a wage agreement for 2020, siding with the Labour Appeal Court which found that the agreement was unlawful. 

At stake was R75.6-billion in backpay, which unions had hoped the court would order must be paid as well as a higher salary baseline going forward.

For Treasury and Finance Minister Enoch Godongwana the ruling will come as a relief. Had the court ruled against government, the budget framework – tabled only last week – would have been thrown into disarray with an obligation on government to both pay backpay for two years and raise the wage bill for the next three years by a baseline of R37.8-billion.

The Constitutional Court found that as the wage increase had not been budgeted for and Treasury had indicated this to the state’s representatives during the bargaining process, the agreement was unlawful. 

The outcome means that public servants' wages have been frozen for two years. In 2021, they received a R1 000 a month cash gratuity as a sweetener. But this amount has not been included in pensionable salaries.

Edited by News24Wire

Comments

Showroom

Weir
Weir

Weir is a global leader in mining technology. We recognise that our planet’s future depends on the transition to renewable energy, and that...

VISIT SHOWROOM 
Schauenburg SmartMine IoT
Schauenburg SmartMine IoT

SmartMine IoT has been developed with the mining industry in mind, to provides our customers with powerful business intelligence and data modelling...

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Photo of Martin Creamer
On-The-Air (17/01/2025)
17th January 2025 By: Martin Creamer
Magazine round up | 17 January 2025
Magazine round up | 17 January 2025
17th January 2025

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.265 0.361s - 210pq - 2rq
Subscribe Now