Business Day reports that the City of Tshwane has reached an agreement with the South African Municipal Workers Union (Samwu) over implementation of a wage agreement that will cost the capital city nearly R2bn. “We are very close to reaching an agreement. In fact, in principle, we have reached an agreement with the union,” Tshwane deputy mayor and finance member of the mayoral committee (MMC) Eugene Modise told Business Day on Wednesday.

Samwu’s Tshwane regional secretary, Donald Monakisi, said: “In principle we have reached agreement. We are saying there must be an immediate payment of the 3.5% wage increase and deal with the back pay [from 2021] later. The discussions are ongoing.”

The Salgbc dismissed Tshwane’s application to be exempt from implementing the pay deal, ruling recently that the metro had to comply with the wage agreement and effect the necessary adjustments and payments, “including all back pay, within six months of the award [or ruling]”.

Modise said at the time the municipality would not appeal against the ruling. “We respect the outcome of the process and remain committed to upholding the principles of collective bargaining, good governance and labour stability. In the light of this, the city will engage constructively with organised labour unions to explore practical, convenient and sustainable modalities for implementing the award.

“These engagements will seek to ensure that the implementation process is both compliant and considerate of the city’s financial realities, while prioritising fairness and service delivery will not be compromised. “This administration firmly believes that our employees are the backbone of effective service delivery, and we therefore prioritise their wellbeing, development and fair treatment.”

by Luyolo Mkentane