Cape Town — The Congress of South African Trade Unions (Cosatu) and it’s its affiliate union, the National Education, Health and Allied Workers’ Union (Nehawu), have rejected the National Treasury’s cost-cutting measures.
The measures include a freeze on advertising new appointments and procurement contracts for all infrastructure objects. This was outlined in a letter the Treasury sent to national departments, provinces, and public entities, News24 reported.
Both Cosatu and Nehawu have raised their concerns over the matter, saying the radical measures will be a blow to departments that are already feeling pressure from previous austerity measures.
The National Education, Health and Allied Workers’ Union [#NEHAWU] is dismayed by the directive on cost containment measures by National Treasury to government departments.@Newzroom405 @TreasuryRSA @PresidencyZA pic.twitter.com/QzzyWMifm5
— @COSATU Today (@_cosatu) September 7, 2023
The Treasury has directed depts to implement cost containment measures, which include, amongst others,the freezing of hiring new employees in the public service. As #NEHAWU, we view this as Treasury’s persistence with its intensified austerity programme @Radio702 @TheRealClementM pic.twitter.com/zvD2NCXdGV
— @COSATU Today (@_cosatu) September 7, 2023
Cosatu’s parliamentary coordinator, Matthew Parks, described Treasury’s measures as “reckless attempts” to impose misguided austerity budget cuts. He said the proposed solutions will stifle the economy and further weaken government and instead the economy needed stimulus and well-functioning public services.
“What is needed now is to grow the economy. Pick-pocketing nurse and underpaying police officers is not a solution. If we are to grow the economy and reduce unemployment, and thus increase the revenue the state needs to reduce debt, then government needs to deal with the fundamental obstacles suffocating the economy, workers and businesses,” he said.
Meanwhile, Nehawu said the proposed austerity by National Treasury comes at a time when there is a lot of vacancies and and is not well thought out. They said civil servants are already overworked and underpaid, IOL said.
“The directive on freezing employing personnel in the public service is indeed that stricter headcount management amidst a high vacancy rate and understaffing in the public service which contributes significantly in impeding service delivery.
“Our members and workers who are at the coalface of service delivery are overworked, and there is no improvement in pay and conditions of work.”
In addition, Nehawu said it cannot find the logic behind this move and will oppose it.
“We cannot comprehend the logic of Treasury’s directive on freezing the hiring new employees when the country is confronted with skyrocketing unemployment rate, poverty, and inequality.”
We reiterate our call for government and National Treasury to end the moratorium on vacancies in order to improve the capacity of state to deliver quality public services declares #NEHAWU @Newzroom405 @TreasuryRSA @PresidencyZA @SiphamandlaGoge @CathyMohlahlana @kzngov @thedpsa pic.twitter.com/ULoXGJpjf7
— @COSATU Today (@_cosatu) September 7, 2023
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Compiled by Betha Madhomu