The Johannesburg municipality agreed to pay Samwu members R10 billion over three years to address historical salary disparities.
Samwu members during a march at Mary Fitzgerald Square on 26 March against the DA’s legal action to block the R10-billion wage deal with municipal workers. Picture: Gallo Images / Sharon Seretlo
The DA has asked the provincial government to intervene in maintaining the Johannesburg municipality’s financial stability.
DA Johannesburg caucus leader Belinda Kayser-Echeozonjoku on Wednesday sent a letter to cooperative governance and traditional affairs (Cogta) MEC Jacob Mamabolo requesting an investigation into the actions of municipal officials.
The party argues that Johannesburg Mayor Dada Morero and group corporate and shared services MMC Sthembiso Zungu’s engagements with the South African Municipal Workers Union (Samwu) over the multi-year R10.3 billion Politically Facilitated Agreement (PFA) amount to political interference.
Samwu on Monday demonstrated outside the ANC’s offices over a delay in the payment, where Morero assured the union members that they would be paid before the 2026 local government elections.
Zungu had a separate meeting with Samwu members last week, where the R10.3 billion payment was a topic of discussion.
‘Reckless financing decision making’
Kayser-Echeozonjoku’s letter concedes that the engagements in isolation do not amount to proof of wrongdoing, but argues that together they could be construed as placing political pressure on city administrators.
The DA caucus leader stated that her party had not received any meaningful correspondence from Morero’s office on the matter, prompting her to escalate the issue.
“These developments raise legitimate concerns regarding the possible destabilisation of the city and whether political office bearers are improperly influencing administrative processes.
“Johannesburg residents deserve a municipality governed in accordance with the law, free from political interference, intimidation and reckless financial decision making,” Kayser-Echeozonjoku’s letter reads.
The DA requested that Cogta investigate the claims of political interference, the assurances given to Samwu and whether city officials were in breach of any relevant legislation.
Cogta and the municipality acknowledged requests for comment on the matter and their responses will be added when forthcoming.
‘Most valuable resource’
The three-year R10.3 billion deal was agreed days before last year’s G20 summit and a court challenge by the DA was dismissed in March.
National Treasury had earlier warned the municipality that it could not afford the deal, with Finance MMC Loyiso Masuku making provision for the payment in her medium-term budget presented in May.
Masuku said the budget allocation for the deal was necessary to “address historic and legacy salary disparities” affecting workers.
“Our workforce is our most valuable resource and must be adequately compensated.
“The ANC-led government of local unity has demonstrated its commitment to ensuring that workers receive fair compensation with the intention of accelerating service delivery, strengthen revenue collection and improve customer interface through a motivated and skilled work force,” Masuku stated.
However, the city’s newly-installed deputy mayor accepted there were fiscal constraints and said the city would work to find a balance.
“We will continue our engagements with National Treasury and Minister Enoch Godongwana.
“We are committed to ensure that we maintain fiscal discipline and integrity of the city whilst meeting our obligations,” Masuku said in her budget speech.
Samwu objections
Samwu has previously expressed its dissatisfaction with the DA’s interference in the PFA deal.
“The union rejects both the substance and political posture underpinning this intervention, which amounts to a dangerous encroachment into collective bargaining and municipal labour relations.
“Having failed in council and court, the DA now seeks to govern Johannesburg through Treasury directives.”
The union said it was concerned about an “alliance” between the DA and higher government entities sidelining workers.
“It is dishonest for political parties and state institutions to suddenly invoke austerity and fiscal discipline only when workers stand to benefit, while remaining silent on corruption, outsourcing, consultant expenditure and wasteful spending that continue to cripple municipalities.
“This renewed attack on workers by both the DA and National Treasury has only served to rejuvenate worker’s determination to intensify the struggle in defence of their hard-won gains,” Samwu concluded.
