Media Statement by DPSA: Government signs wage offer

Home | Media Statement by DPSA: Government signs wage offer

The Acting Director-General for the Department of Public Service and Administration (DPSA), Mr Kenny Govender today signed off the draft wage offer for implementation on behalf of government. This has come after drawn out and intense negotiations in the Public Sector Coordinating Bargaining Council (PSCBC).

The offer according to the regulations of the PSCBC will be on the table for a period of 21 days in which labour can make a decision to sign and failing which will be implementable.

The offer which covers the period from 01 July 2010 until 31 March 2011 includes:

  • A general salary increase of 7% for the 2010/11 financial year; 
  • An increase in housing allowance from the current R500 to R700 which amounts to a 0.9% increase; and 
  • An annual pay progression of 1.5% which 90% of employees qualify.

Government has committed to responding on the matters of the improvement of housing allowance and/or subsidy with a view of ownership by public servants and the equalisation of medical aid subsidy in the second phase of negotiations scheduled for October 2010.

Minister for the Public Service and Administration, Richard Boloyi reiterated that "We will continue in our efforts for further collective engagement with labour on the review of the remuneration policy; the synchronisation of salary negotiations with the Government Budget cycle; the return to April as the implementation month for salary settlement; the building of a sustainable capacity in our negotiators; as well as the introduction of a multi-term focus in salary negotiations."

Issued by the Ministry for Public Service and Administration