Govt, unions sign wage agreement
30 September 2004
Five public sector unions representing a 75.5 percent majority of unions signed a wage settlement agreement with the government in Pretoria on Wednesday after six months of negotiations.
The parties agreed on a 6.2 percent wage increase plus a 1 percent increase for "satisfactory work".
Public Service and Administration Minister Geraldine Fraser-Moleketi said the government recognised the critical role of organised labour in the transformation of the public service.
"We believe that this agreement will assist in improving productivity and service delivery", she said.
The collective agreement makes provision for a forward-looking multi-term salary adjustment based on projected consumer inflation plus 1.2 percent for the period 2004 and 2005.
For the remaining two years, the adjustment will be consumer inflation plus 0.4 percent.
As part of the recruitment and retention strategy of government and labour, provision
has been made for the implementation of a framework for the determination and compensation for scarce skills.
The two parties also agreed on a pay progression of 1 percent of the incentives policy for the public service to give recognition and compensation to public servants for satisfactory performance.
"Unity among unions is very important for wage negotiations in the public sector", said SA Democratic Teachers Union president Willie Madisha. "This agreement was signed by ordinary members after getting a mandate."
He added that unions were happy that issues of macro-benefits and salary backlogs had been addressed.
Fraser-Moleketi said the government remained resolute in its commitment as a social partner to address matters of medical assistance, home ownership, a review of remuneration, and determination and compensation for scarce skills in the public service.
Source: BuaNews
| 
