Management at Aganang municipality in Limpopo has allegedly instructed striking workers to return municipal property.
The entire workforce at the institution downed tools on Monday after a deadlock with management over salary disparities.
The municipality is alleged to be paying its workers different salaries though they have similar duties.
The management allegedly took a decision to confiscate access cards, office keys and laptops from the workers on Wednesday. Workers have also been "barred" from entering municipal premises.
Based on the latest decision, the workers spent the day sitting at the municipal grounds doing nothing because they had handed in the keys to their offices.
The workers yesterday accused municipal manager Ramakuntwane Selepe of taking unilateral decisions that would hamper service delivery at the municipality.
They claimed he was incompetent and wanted him out "for the sake of progress".
Other workers said Selepe took decisions "without consulting".
"For instance, there was an agreement between the South African Local Government Bargaining Council and the South African Municipal Workers' Union that management would implement corrective measures to address the salary disparities from July 1 this year.
"But Selepe has refused to implement the agreement," the union's secretary at the municipality, Ledile Matsaung, said.
She said there was no hope that work would resume if management failed to implement the measures by next week.
Despite an earlier promise to comment yesterday, Selepe's phone went unanswered.