Government tables 5.5% new wage offer for public sector workers

The government has tabled a new wage offer of 5.5% for public sector workers. The employer met with labour unions at the Public Sector Coordinating Bargaining Council for a revised offer after the workers rejected a proposed 5% salary increase.

The Medium-Term Budget Policy Statement tabled last year makes a provision for a 4.7% salary increase for public servants.

VIDEO | The 2024 Medium-Term Budget Policy Statement.

The workers’ demands have been revised down several times from an initial 12% to now 6%.

The Public Servants Association of South Africa’s Claude Naicker says the new offer includes an improvement in non-financial benefits with the parties hoping to conclude the talks before the February budget.

“Currently, we have been offered that opportunity for 21 days, to go back to our various membership and see if they’re happy. As I’ve indicated, we have made significant progress. It’s something that we can take back to our members, it’s a more than tangible offer from where we were 3% to 4.7 to 5 to 5.5%. We have the housing allowance adjustment where they’ve decided to adjust it from  just above R1700 to R1900 coupled with that, there will be an increase related to inflation for the housing allowance, come July. There’s also an increase in the medical aid subsidy.”

VIDEO | Government moved its wage offer from 5% to 5.5%.