Business Maverick: Mboweni’s hard stance on a wage freeze for public servants starts to pay off

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In the 2021 Budget Review, National Treasury said government expenditure will reduce by R264.9-billion over the next three years, thanks to the wage freeze that targets South Africa’s 1.2 million public servants.

The refusal by Finance Minister Tito Mboweni to award 1.2 million public servants inflation-busting salary increases over the next three years has paid off – at least in alleviating the pressure on South Africa’s deteriorating public finances.

For many years the spend on wages for public servants has been the single-largest component of the government’s consolidated expenditure. In 2019/20 alone, the government shelled out R623.8-billion to pay public servants – a line item in the national Budget that accounted for about 34% of government expenditure.

Mboweni’s determination on the three-year wage freeze will probably anger trade unions representing public servants, which have vowed to challenge the government in court. Already, trade unions affiliated to Cosatu and the Federation of Unions of SA have approached the Constitutional Court to appeal against a Labour Appeal Court ruling that handed the government a huge victory in December 2020.

 

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So to enlighten the public, we are being so far down the wage scale that when u do move, they are shocked. Positions are not filled and u get one person to do 4 ppls work. And yet they want to cut salaries mostly in Health etc.

As well as PHDs

The wage freeze if anything -is an indictment on the ruling party. Public service is not bloated, considering the impact of covid19 most public servants should be celebrated and compensated accordingly. Public service is not the enemy, the wage freeze is misdirected

So expect more looting from our public servants to keep their lifestyles going.

Well done tito_mboweni 👏👏👏🙏🇿🇦😷💉

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