It is well known that in terms of the multi-year Salary and Wage Agreement, municipal employees are to receive a 6.25% annual increase with effect from 1 July 2020. Due to many factors (including the COVID-19 pandemic), many municipalities are (according to these municipalities) experiencing extraordinary cash flow problems, and are unable to afford the implementation of the 6.25% increase. Several of these municipalities have thus applied for an exemption in terms of the relevant clause of the collective agreement. Such exemption applications can only, however, be granted on limited grounds and furthermore have to be heard by a Senior Commissioner of the SALGBC.
In the Western Cape Region, 7 municipalities have formally brought such applications, whereof 1 was subsequently withdrawn.
Members are assured that IMATU is opposing all such applications, and we have appointed external legal practitioners, including Counsel, to ensure that our members’ rights in terms of the collective agreement are protected.