Update Bulletin On The Public Service Wage Negotiations

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Update Bulletin On The Public Service Wage Negotiations

21 January 2025

NEHAWU Wage Update

17 January 2025

NEHAWU Wage Update

Friday January 17, 2025

NEHAWUSupports Dr Aaron Mtsoaledi in Defending the full implementation of the Natioal Health Insurance [NHI]

The National union on the 16th January 2025 convened its national bargaining forum that was attended by National Office Bearers, Provincial Secretaries, 38 Provincial Coordinators from various sectors linked to the public service including SASSA, SIU and SANBI, Heads Office service centers and PHOSECs.

The meeting was convened to receive an update report on the wage negotiations convened between the 12th December 2024 and 08th January 2025 and the offer that has been tabled on record by the employer in the public service coordinating bargaining council. Subsequent to the last offer from the employer that was tabled in November 2024, the employer has tabled the following offer:

The national bargaining forum discussed this offer and agreed on the following:

Demand Employer's Offer
Term of the Agreement:
  • The employer is proposing a 3 year multi-term agreement for financial years: 2025/2026;2026/2027 and 2027/2028
COLA:
  • The employer revised their offer from 4.7% to 5% for the year 2025/2025
  • FY 2026/2027 Projected CPI only
  • FY 2027/2028 Projected CPI only
  • This proposal includes the capping of inflation: this means that inflation will deemed to be 4% in case the projected CPI is below 4% and 6% in case the projected is above 6%
Housing Allowance and Reviewal of Resolution
  • Increment of the Housing allowance from R1 784 to R1900
  • Agree to Reviewal of the PSCBC Resolution 7 of 2015 to allow workers exiting the public service through dismissal and resignations to receive their savings from the individually linked savings facility
  • To fast track the full establishment of the GEHS administration and institutional architecture by 30 June 2025
Medical Aid: 12% plus MPI
  • The medical aid subsidy to be increased as follows:
  • 2025/2026 with Medical Price Index only
  • 2026/2027 with Medical Price Index plus 0.5%
  • 2027/2028 with Medical Price Index plus 0.5%
Danger Allowance
  • The danger allowance to be increased from R623.29 to R650.00 for the financial year 2025/2026 (01st April 2025 )and thereafter by CPI in July as per the current resolution
  • Special Danger from R931.82 to R950 on 01 April 2025 and thereafter by CPI in July as per the current resolution
  • The service allowance for Police to be increased from R700 to R950.00 from 01 April 2025 and will be adjusted with CPI every year from 2026.
Process Demands including the following: Death Grant
Recruitment Policy
Childcare Facility
Bursary
Comprehensive Danger Allowance
Uniform Policy
Incentive Policy Framework
• As reported previously the employer has agreed to the PSCBC sub-committees that must research and work on modalities to realise these listed demands in fixed time frames and monitoring of these processes must happen and continuous reports must be tabled in council on these issues.

(a) That the national union has no mandate on the multi term agreement given the historical experience we have had in the sector. Members must mandate the union on this matter.

(b) The national union has noted the fact that organised labour has now moved to 6% and the current offer of the employer is 5%. The concern of the national union is that this is not a final offer and creates challenges for mandate seeking but members will be updated of the new development.

(c) The current multi term agreement in the subsequent years (2026/2027 and 2027/2028) works against the principle of not negotiating for the inflation but rather negotiate from the inflation.

(d) The union must embark on an intensified mandate seeking process through convening of membership meetings from 20th January to 07th February 2025 to source mandate from members on the offer.

(e) Regional and Provincial Bargaining forums of the public service must be convened between the 10th and 14th February 2025 and thereafter the national bargaining forum will be reconvened to consolidate mandates from membership unions, regional and provincial bargaining forums.

Government Employees Medical Aid Scheme (GEMS)

The meeting received an update report on the GEMS following what was reported in the last meeting. The council meeting that was scheduled for December 2024 did not meet because of wage negotiations. The National Office Bearers noting these developments have resolved on meeting with board of GEMS and a letter has already been written to them and a statement was issued denouncing the increase by GEMS.

This matter was also extensively discussed in the JMC meeting of the 17th January 2025 and the JMC agreed on the following:

(a) That an urgent meeting with GEMS board must be convened to discuss the increment.

(b) COSATU JMC must lobby the other public service unions and federations on the matter and work with them.

(c) A special council meeting must be convened urgently to discuss possibilities of reversing the increase or otherwise half the increment.

(d) COSATU must issue a statement on this matter denouncing the increment.

(e) COSATU through JMC must embark on a process to do assessment of GEMS since its inception and a technical team with experience in the field must be put together to work on this matter.

(f) A meeting with the DPSA Minister must also be convened to discuss the same because he also appoint board members.


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Issued by NEHAWU Secretariat
Zola Saphetha (General Secretary) at 082 558 5968;
December Mavuso (Deputy General Secretary) at 082 558 5969;
Lwazi Nkolonzi (NEHAWU National Spokesperson) at 081 558 2335 or email: lwazin@nehawu.org.za
Visit https://www.nehawu.org.za

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