Wage talks between Samwu and City of Tshwane break down, leaving workers in limbo
Image: Oupa Mokoena / Independent Media
The Commission for Conciliation, Mediation and Arbitration (CCMA)-facilitated talks between the South African Municipal Workers Union (Samwu) and the City of Tshwane on June 10 and 23, 2025, broke down without an agreement over the outstanding 3.5% wage increase for the 2021/22 period.
The talks followed a May 9 Labour Court ruling, which sent the matter back to the South African Local Government Bargaining Council for a new hearing on the 3.5% wage increase after the city initially sought an exemption.
In the same breath, the court ruled that the city is exempt from implementing a 5.4% wage increase for the 2023/2024 financial year after it cited financial constraints.
The city approached the court after its application for exemption from a wage agreement with the unions was rejected by the bargaining council.
Video Player is loading.
Play Video
Play
Unmute
Current Time
0:00
/
Duration
-:-
Loaded :
0%
Stream Type LIVE
Seek to live, currently behind live
LIVE
Remaining Time
-
0:00
This is a modal window.
Beginning of dialog window. Escape will cancel and close the window.
Text Color White Black Red Green Blue Yellow Magenta Cyan
Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan
Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan
Transparency Transparent Semi-Transparent Opaque
Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps
Reset
restore all settings to the default values Done
Close Modal Dialog
End of dialog window.
Advertisement
Next
Stay
Close ✕
Ad Loading
Samwu regional secretary Donald Monakisi said the union has formally appealed against the ruling on the 5.4% salary increase and is waiting for the Labour Appeal Court to schedule a hearing date.
Regarding the outstanding 3.5% salary increase, he said both the union and the city failed to reach an agreement during the recent CCMA-led negotiations regarding the process to finalise such an increase for municipal workers.
He said the bargaining council has scheduled the exemption hearing for July 21, 2025.
Monakisi explained that the CCMA-facilitated talks were held ahead of the upcoming exemption hearing at the bargaining council, in an effort to narrow down the issues in dispute and explore possible settlement options that could be formalised as a bargaining council award.
However, the meetings failed to yield consensus between the two parties, but they agreed on the value of ongoing dialogue before the scheduled hearing.
Monakisi said Samwu remains committed to these discussions, hoping to reach a mutually beneficial resolution in the best interest of workers.
'The union remains relentless in its position that the 3.5% salary increase, owed to workers from 2021, must be honoured. The prolonged delay in payment has imposed significant financial strain on municipal workers, who continue to provide essential services under increasingly difficult conditions. In this regard, Samwu's legal team is diligently preparing for the exemption hearing, with the aim of securing a just outcome for our members,' he said.
Monakisi emphasised that the City of Tshwane has confirmed the availability of funds to meet its obligations to employees.
He was referring to Mayor Nasiphi Moya's State of the Capital Address two months ago, where she noted Tshwane's improving financial outlook due to decisive actions and increasing resident support.
'We are proud to report that our cash reserves are projected to reach R2.86 billion in the 2025/26 financial year. This marks an important step toward financial stability, with our liquidity coverage improving from 23 days to 43 days over the next two years,' she said.
The Independent Municipal and Allied Trade Union demanded transparency and accountability, arguing that the city cannot claim financial stability for the public while citing financial distress as a reason for not paying its workforce.
Last month, the city and both unions jointly acknowledged the strain the ongoing wage dispute had placed on municipal employees.
'The city reaffirmed its appreciation for the dedication of its workforce and its commitment to working collaboratively with organised labour to find a fair and sustainable resolution,' parties said in a statement.
rapula.moatshe@inl.co.za
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
IOL News
2 hours ago
- IOL News
Minister Chikunga advocates for women's financial inclusion and care economy at G20 forum
Minister for Women, Youth and People with Disabilities, Sindisiwe Chikunga, said conventional financial systems continue to exclude women. Image: File / Independent Media Minister of Women, Youth and Persons with Disabilities, Sindisiwe Chikunga, has called for urgent and targeted action to dismantle long-standing structural barriers that continue to marginalise women in economic and social spheres. Speaking at the G20 Women Empowerment Working Group, Chikunga emphasised three critical priorities for South Africa: financial inclusion for women, recognition of the care economy, and the fight against gender-based violence and femicide. In a frank and impassioned address, the minister highlighted how conventional financial systems continue to exclude women, particularly when it comes to access to credit. 'If you're going to ask for collateral to access credit, yet women historically haven't owned property, you're excluding them from the start,' she said. 'That is not just a gap, it is a structural injustice.' Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ Chikunga said her department has been engaging financial institutions, including major banks, urging them to design financial products that account for the lived experiences of women. 'We've asked them to create tailor-made solutions that don't assume a level playing field when clearly, one doesn't exist,' she added. She also turned the spotlight on the unpaid care work overwhelmingly carried out by women in households and communities, from looking after children and the elderly to cooking, cleaning, and providing emotional support. While this work forms the backbone of society and enables the formal economy to function, it remains undervalued and largely invisible in economic policy. 'Without someone ensuring that meals are cooked, uniforms are ironed, and children are cared for, the formal economy would come to a standstill,' said Chikunga. 'The care economy is the silent engine of our societies, but it is not recognised, not accounted for, and certainly not rewarded.' She noted that while some developed countries have begun accounting for unpaid care work in their GDP calculations, South Africa has yet to do so. Her department is currently drafting national policy aimed at formally recognising both paid and unpaid care work, to secure labour protections, leave entitlements, and economic value for carers, most of whom are women. She also raised the alarm about the ongoing crisis of gender-based violence and femicide, calling for a stronger, coordinated response at both national and international levels. Backed by local research from the Human Sciences Research Council, Chikunga stressed that South Africa's approach is grounded in evidence, not anecdote.
The Citizen
6 hours ago
- The Citizen
Court declares Rooiwal tender invalid
The metro has welcomed a landmark judgment by the North Gauteng High Court, which has declared the controversial 2019 tender awarded to the consortium appointed for the upgrade of the Rooiwal Waste Water Treatment Plant as invalid. The ruling not only nullifies the R250-million contract but also orders the companies – Blackhead Consulting, NJR Projects and CMS Water Engineering – to repay profits made from the tender to the metro. The judgment follows years of public outcry, investigative scrutiny, and legal action over the botched contract that left Rooiwal in a state of disrepair. After the court ruling, Mayor Dr Nasiphi Moya reaffirmed the metro's commitment to clean governance and accountability. 'This judgment affirms what we have long maintained: contracts awarded through unethical and irregular processes undermine service delivery, compromise governance, and erode public trust,' she said. 'We assure the residents of Tshwane that this administration will act decisively to give full force and effect to the order.' The court has instructed the consortium to submit documentation of project-related expenses within 60 days. Should they fail to do so, the metro will appoint an independent contractor to determine the actual profits made, which the companies will then be required to repay. The irregularities surrounding the Rooiwal tender have been under investigation since 2022, when a forensic report concluded that the consortium lacked the required expertise to carry out a project of this magnitude. The awarding of the tender has since been linked to politically connected businessman Edwin Sodi and five senior metro officials, referred to as the 'Rooiwal Five'. They were removed from their posts but remain embroiled in Labour Court proceedings as attempts are made to reinstate them. Moya highlighted the progress already made at Rooiwal under new leadership. 'Work to complete the upgrades at the Rooiwal Waste Water Treatment Plant has progressed successfully. Phase 1A was completed ahead of schedule, and Phase 1B is currently underway,' she confirmed. 'We are committed to ethical leadership, clean governance, and delivering services to our residents.' The DA, which led the coalition government in Tshwane at the time and launched litigation against the consortium, also welcomed the ruling. 'This is a significant victory for clean governance and accountability in the metro,' said Cilliers Brink, DA leader in the Tshwane council. 'Now is the time for the metro to tell the public how far the process has gone to prevent that consortium from ever doing business with the state again.' Brink emphasised that the attempt to blacklist the Sodi-linked companies was initiated in 2024 under the DA-led coalition. The process was initially delayed after National Treasury found flaws in the metro's first application. However, the recent court ruling strengthens the metro's position. 'The public deserves to know what measures are being taken to ensure that what happened at Rooiwal never happens again,' Brink added. 'We cannot allow companies with poor track records and political connections to walk away unscathed.' The Rooiwal debacle has long been emblematic of the challenges facing the metro. The wastewater treatment plant, which is responsible for supplying clean water to Hammanskraal and surrounding areas, has not been operating optimally for years. Poor workmanship, missed deadlines, and stalling on the site forced the metro to terminate the contract in August 2022. In a high-profile oversight visit to the Rooiwal and Klipdrift water treatment sites earlier this year, Moya was accompanied by Minister of Water and Sanitation, Pemmy Majodina. The minister did not mince her words about the legacy of the failed project. 'We cannot allow people to do Mickey Mouse work and think they will get away with it,' said Majodina. 'This plant is supposed to provide clean water to our people.' The consortium's abandonment of the site, followed by the findings of corruption and maladministration, led to the involvement of the Special Investigating Unit (SIU). While political instability, including shifts in coalition support, hampered previous attempts to enforce accountability, the court's ruling has now given the metro a decisive legal tool to act. ALSO READ: Call for provision of water tankers as Hartebeeshoek shutdown looms Do you have more information about the story? Please send us an email to [email protected] or phone us on 083 625 4114. For free breaking and community news, visit Rekord's websites: Rekord East For more news and interesting articles, like Rekord on Facebook, follow us on Twitter or Instagram or TikTok. At Caxton, we employ humans to generate daily fresh news, not AI intervention. Happy reading!
The Citizen
6 hours ago
- The Citizen
US stocks mixed as Trump tax bill advances, Tesla falls
Among individual companies, Tesla fell 5.3 percent as the electric car company's CEO Elon Musk sparred with Trump over the tax and spending bill. Wall Street stocks finished mixed Tuesday after the Senate approved Donald Trump's sweeping legislation to extend tax cuts and enact deep reductions in social spending. The Republican-led upper congressional chamber narrowly cleared Trump's mammoth domestic policy bill, sending the measure back to the House of Representatives, where the vote is also expected to be close. Equity market viewers have cheered the prospects of extending tax cuts while expressing misgivings about projections that the measure will add some $3 trillion to the US national debt. ALSO READ: Trump reassures allies as NATO agrees 'historic' spending hike The Dow Jones Industrial Average rose 0.9 percent to 44,494.94. But the broad-based S&P 500 dipped 0.1 percent to 6,198.01, while the tech-rich Nasdaq Composite Index dropped 0.8 percent to 20,202.89. Both the S&P 500 and Nasdaq closed at records on Monday. Data released Tuesday showed US manufacturing activity shrank in June for a fourth straight month, though by a slower rate than the prior month. The report comes ahead of key US data later in the week, including the closely watched monthly jobs report. ALSO READ: Trump's ultimatum undermines US credibility Among individual companies, Tesla fell 5.3 percent as the electric car company's CEO Elon Musk sparred with Trump over the tax and spending bill. After Musk lambasted the legislation as wasteful and misguided, Trump warned of retribution against Tesla and other Musk ventures. 'This high-profile feud introduces political risk,' said of the tiff. 'The personal nature of the conflict, amplified by Trump's comments implying Tesla's reliance on subsidies for survival, has sparked fears of broader policy shifts targeting Musk's business empire. This political uncertainty undermines investor confidence.' Meanwhile, rival automakers General Motors and Ford jumped 5.7 percent and 4.6 percent, respectively, after reporting higher second-quarter US auto sales, as consumers accelerated purchases to get ahead of US tariffs. READ NEXT: Trump launches new gold smartphone 'made entirely in US'
