salaryThe Independent Municipal and Allied Trade Union (IMATU) is declaring a dispute after the local government salary and wage negotiations deadlocked today.

Salary and wage negotiations deadlocked after the Facilitator was unable to get all parties to accept the Facilitator’s Proposal. IMATU and SALGA had previously accepted the Facilitator’s Proposal.

SALGA stated that due to SAMWU’s rejection of the Facilitators Proposal, it is also rejecting the Facilitator’s Proposal. SALGA therefore reverts to its last offer before the Facilitator’s Proposal, that is to say an increase of 6.6%. SALGA is also suspending its participation in further negotiations on uniform salary scales (wage curve).

IMATU will request in its dispute declaration that a conciliator be appointed by the Bargaining Council to resolve the dispute and that the Facilitators Proposal be implemented. Should the dispute remain unresolved, a certificate of non-resolution will be issued. Thereafter IMATU intends to submit the matter to interest arbitration.

“Our negotiators are always mindful of the growing financial pressure faced by members, including the recently introduced VAT and fuel levy increases as well as general increases in the cost of living. Given the current economic climate and growing concerns regarding the financial sustainability of some municipalities, we believed that the Facilitator’s Proposal did make an attempt to balance individual priorities and the sustainable growth and development of the sector. Our internal mandating process confirmed that our members were in agreement,” commented IMATU General Secretary, Johan Koen.

The key aspects of the Facilitator’s Proposal are;

• Three year wage agreement.
• Salary increases of 7% (Year 1), CPI plus 1.5% (Year 2), CPI plus 1.25% (Year 3).
• Housing Allowance, Maximum medical aid subsidy and minimum wage to increase by same percentages as salary increase for all three years.
• A R350.00 non-pensionable allowance for gap market employees that also increases by same percentages as salary increase for all three years.