salaryThe third round of the wage negotiations, and wage curve negotiations for the 2017/2018 financial year took place on 5-7 March 2018, in Durban, under the guidance of the facilitator, Mr Moe Ally.

Hereinafter follows the feedback report.

Salary and Wage Negotiations
The parties commenced negotiations by forming a smaller committee where possible settlement options could be explored on a confidential and without prejudice basis. Much of the time was spent considering various options for settlement.

IMATU indicated that, since the last round, new tax measures, such as VAT increases and fuel levies, have been introduced which has added to existing financial pressures experienced by our members. This is causing the negotiators to harden their stance on the actual increases.

The facilitator subsequently proposed that, in order to make progress, the parties should revise their positions, on the proposed salary increase, as follows:

Item: Across the Board Salary Increase
SALGA 5.9%
IMATU 10% or R 2103, whichever is the greater

SALGA agreed to increase its offer on a salary increase to 5.9%. The trade unions could not, however, make a joint response to SALGA’s revised offer and it was agreed to defer the matter to the next round.

The parties closed negotiations on this basis and agreed to make more meaningful adjustments to their positions at the next round. Parties will also work towards a facilitator’s proposal which can be taken back to members for a mandate.

Other issues such as a possible multi-year agreement, housing allowance, medical aid and minimum wage are still under discussion, and are likely to form part of the facilitator’s proposal at the next round.

Wage Curve Negotiations
The parties also formed a smaller committee determine the implementation principles for a possible wage curve collective agreement.

The following issues are currently under discussion:
• Implementation date for the new wage curve;
• Appeals against grading of municipalities;
• Migration of employees to the new wage curve;
• Frequency of review of salary scales and grading outcomes;
• Finalisation of Job Evaluations to implement the wage curve; and
• Conditions for notch increases in the new wage curve.

The consultants, appointed by the SALGBC, have also reviewed the grading outcomes of municipalities using the latest financial statements. The proposed uniform salary scales have also been updated with the latest market figures.

IMATU submitted a draft collective agreement for discussion and it was agreed that it will form the basis for a possible wage curve collective agreement.

The parties are aiming for 1 July 2018, as a possible implementation date for the wage curve.

The next round of wage negotiations is scheduled to take place on 16-18 April 2018.

Members will be continually updated as the matter progresses.