Workers at Sars end strike

The union representing employees agreed to a 8% wage increase in 2019 and a CPI-plus-2%-rise for 2020-21.
Workers embarked on the strike last Thursday, demanding a 15% wage increase before lowering it to 11.4% on Sunday. Picture: Moneyweb

A four-day strike at South Africa‘s tax collection agency ended on Tuesday when a union representing about half its employees agreed to a 8% wage increase in 2019 and a CPI-plus-2% – rise for 2020-21.

The wage hike negotiated by the National Education, Health and Allied Workers Union (Nehawu) is double the local inflation rate and it is also what a second union representing the agency’s workers accepted on Monday.

Workers embarked on the strike last Thursday, demanding a 15% wage increase before lowering it to 11.4% on Sunday.

“After extensive consultations, the majority of our provinces have given us a mandate to sign (this) settlement agreement,” Nehawu spokesperson Khaya Xaba said.

The strike occurred at a time when the government wants to boost revenue collection, which has lagged in recent years partly due to poor administration at the tax collection agency, which employs around 13 000 people.

COMMENTS   1

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No govt Dept or SOE has ever had an increase equal to or below inflation.

So the overhead in the economy just rises and rises crowding out private enterprise and reducing tax revenues.

It’s sheer genius

End of comments.

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