The Congress of South African Trade Unions (Cosatu) has called for a reduction in the size of the cabinet and legislature and for the salaries of ministers and MPs to be slashed in order to save costs.
This would be an alternative to the freezing of civil servant posts which Treasury has proposed as one measure to reduce government expenditure.
Cosatu’s proposal was made by its parliamentary liaison officer Matthew Parks in a presentation Wednesday during public hearings by Parliament’s two finance committees on the medium term budget policy statement.
“If government wants to reduce the public wage bill then it should reduce the exorbitant packages paid to national and provincial cabinets‚ members of Parliament‚ judges and senior management in the parastatals. Government can reduce the size of national and provincial cabinets and the number of members of parliament and provincial legislatures. That is where the fat can be found‚ not amongst poorly paid nurses‚ teachers‚ cleaners and police officers‚” Parks said.
A reduction of an estimated 25‚000 civil service posts over the next three years would add to the unemployment crisis.
Cosatu was very concerned that the MTBPS did not address SA’s low economic growth rate and its unemployment crisis. “We remain concerned that the demands of rating agencies reign supreme over those of 8-million unemployed South Africans‚” Parks said.
He noted that Cosatu appreciated that Treasury had not proposed a full austerity budget accompanied by cuts to social and service delivery expenditure. It appreciated government’s efforts to stabilise public debt levels and maintain social expenditure above inflation levels.
“However we do not see any shift in the MTBPS that will enable government to decisively reduce unemployment. We remain concerned that the expenditure ceilings will have a negative impact upon government’s ability to deliver and the economy as a while. Essentially this is a business as usual and consolidation approach. It will not resolve the fundamental underlying crises facing the economy.”
The federation warned government that any increase in the VATR rate would have a massive negative impact upon the poor and economic demand. “Government should rather increase taxes upon the wealthy‚ luxury goods and non-essential imports‚” Parks urged.
- On Tuesday‚ Cosatu affiliate the National Education Health and Allied Workers Union (Nehawu) called for President Jacob Zuma to step down.
Nehawu is the country’s largest public sector union — with some 235‚000 members — and the first union in the alliance movement to call for the president’s ousting.
Political analyst Zamikhaya Maseti said the call made by Nehawu was an indication that support was shrinking for Cosatu’s president Sdumo Dlamini‚ who is known to back Zuma.
“Maybe more affiliates of Cosatu will follow. The NUM (National Union of Mineworkers) may be the second one. The ground is really shifting under Sdumo Dlamini‚” he said.
- TMG Digital and BusinessLive
Cosatu calls for reduction of salaries of ministers and MPs
The Congress of South African Trade Unions (Cosatu) has called for a reduction in the size of the cabinet and legislature and for the salaries of ministers and MPs to be slashed in order to save costs.
This would be an alternative to the freezing of civil servant posts which Treasury has proposed as one measure to reduce government expenditure.
Cosatu’s proposal was made by its parliamentary liaison officer Matthew Parks in a presentation Wednesday during public hearings by Parliament’s two finance committees on the medium term budget policy statement.
“If government wants to reduce the public wage bill then it should reduce the exorbitant packages paid to national and provincial cabinets‚ members of Parliament‚ judges and senior management in the parastatals. Government can reduce the size of national and provincial cabinets and the number of members of parliament and provincial legislatures. That is where the fat can be found‚ not amongst poorly paid nurses‚ teachers‚ cleaners and police officers‚” Parks said.
A reduction of an estimated 25‚000 civil service posts over the next three years would add to the unemployment crisis.
Cosatu was very concerned that the MTBPS did not address SA’s low economic growth rate and its unemployment crisis. “We remain concerned that the demands of rating agencies reign supreme over those of 8-million unemployed South Africans‚” Parks said.
He noted that Cosatu appreciated that Treasury had not proposed a full austerity budget accompanied by cuts to social and service delivery expenditure. It appreciated government’s efforts to stabilise public debt levels and maintain social expenditure above inflation levels.
“However we do not see any shift in the MTBPS that will enable government to decisively reduce unemployment. We remain concerned that the expenditure ceilings will have a negative impact upon government’s ability to deliver and the economy as a while. Essentially this is a business as usual and consolidation approach. It will not resolve the fundamental underlying crises facing the economy.”
The federation warned government that any increase in the VATR rate would have a massive negative impact upon the poor and economic demand. “Government should rather increase taxes upon the wealthy‚ luxury goods and non-essential imports‚” Parks urged.
- On Tuesday‚ Cosatu affiliate the National Education Health and Allied Workers Union (Nehawu) called for President Jacob Zuma to step down.
Nehawu is the country’s largest public sector union — with some 235‚000 members — and the first union in the alliance movement to call for the president’s ousting.
Political analyst Zamikhaya Maseti said the call made by Nehawu was an indication that support was shrinking for Cosatu’s president Sdumo Dlamini‚ who is known to back Zuma.
“Maybe more affiliates of Cosatu will follow. The NUM (National Union of Mineworkers) may be the second one. The ground is really shifting under Sdumo Dlamini‚” he said.
- TMG Digital and BusinessLive
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