Tshwane proposes conditional wage increase for staff
Tshwane city manager Johann Mettler has proposed to cough up the wage increases in July, but only if the metro manages to collect enough of its debt from residents.

About 29 000 workers in Tshwane could likely receive their 2024 salary increases if the municipality is able to fork out the 5.4% wage hike.
The proposed salary increases are guided by several conditions, however these mainly highlight that the payments will be made if the metro can collect R4.4-billion.
This as its current debtor’s book stands at R23.3-billion.
Tshwane city manager Johann Mettler proposed to Commission for Conciliation Mediation and Arbitration (CCMA) director Cameron Morajane earlier this month that the 2023/24 salary increase settlement would only be available if, in six months, a debt collection of R4.4-billion was achieved.
Mettler said the proposal was based on an assessment of Tshwane’s liquidity position.
The proposal stipulates the following:
– The settlement is made in full and is the final settlement of all salary disputes between Tshwane and organised labour, and is subject to approval by the city council.
– The offer is on condition that Tshwane achieves the revenue collection target of R4.4-billion in aggregate for February, March, April, May, June, and July. If these targets are met, Tshwane agrees to a salary increase of 5.4% effective from January 1 2024.
– The salary increases will only be payable with the scheduled salary payments in July. This will be after it has been confirmed that the set revenue collection targets have been met.
Mettler said in the event that the metro failed to achieve its target, the salary increases would not be implemented and the parties would revert to the exemption review processes, currently pending before the Labour Court.
The proposal is yet to be considered by trade unions.
Worker unions Samwu and the Independent Municipal and Allied Trade Union (Imatu) had yet to comment.
Tshwane spokesperson Selby Bokaba said the metro could not shed more light on the matter as yet.
“At the start of the mediation, Tshwane and the unions committed ourselves to the confidentiality of the process. We cannot comment on the exchange of offers and counteroffers unless and until an agreement is reached.”
He however said Tshwane’s negotiating position would be informed by the agreed settlement.
The CCMA resolved to intervene in the Tshwane versus staff stalemate in a bid to smooth over the salary dispute stemming from July last year.
Tshwane had told workers it could not afford the increases, which would cost R602 million, because of low revenue collection.
On August 10, Tshwane applied to the South African Local Government Bargaining Council (SALGBC) for exemption from paying about 29 000 employees according to a 2021 salary and wage collective agreement.
However, this failed when on September 10, SALGBC senior commissioner Eleanor Hambidge turned down the application.
The metro had claimed the increases would cost it R602-million a year after the workers demanded a 5.4% salary increase as of July 1, 2023 and 3.5% increase for the years 2021.
The matter had since swung in the direction of the CCMA to facilitate talks between Tshwane and unions, after the salary dispute had left service delivery in tatters, vehicles charred and employees allegedly fearful to execute their duties.
For over three months, Tshwane services to residents such as transport, waste collection, electricity and water supply and maintenance, including fixing of leaks, and streetlights were crippled and chaotic due to the dispute.
In July 2023, the revenue collection reached 82.02%, however dropped to 76.08% in August, the metro said.
At the time mayor Cilliers Brink said the collective agreement negotiated three years ago had an affordability exemption clause.
In March, Tshwane tabled its R46.9-billion budget for the 2022/23 financial year, without a wage increase for workers provision.
The posture to not pay increases led many workers to enter an unlawful and unprotected strike, which also resulted in the metro dismissing some, withholding salaries and having many others arrested for turtle-pacing service delivery.
The war between Tshwane and the unions had been brewing since 2019 after senior officials awarded themselves an “18% increase” while employees received nothing when the metro was upgraded to category A.
When staff discovered this, protest action erupted.
Unions recommended that the 18% increase to senior managers be withdrawn but this did not happen and the parties eventually settled on a worker ranking process.
The ranking was expected to result in a wage increase for “underpaid” staff, but unions claimed many employees had received no wage adjustment.
*Please note this article has been amended
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