Pretoria – The government on Friday announced that it had concluded 2023/24 wage negotiations with majority unions at the Public Service Coordinating Bargaining Council (PSCBC).
In the special PSCBC meeting convened on Thursday, (30 March 2023), the unions reverted to Council after consulting with their members on the final employer offer.
“The majority of the trade unions accepted the offer, thereby concluding the 2023/24 public service wage negotiations,” said the Department of Public Service and Administration in a communique.
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“The employer offer has been signed as a resolution of the Council and is binding on all parties to the PSCBC,” the department said.
“Implementation of the offer is with effect from 1 April 2023.”
Unpacking the employers last and final offer presented at the PSCBC
The settlement agreement for 2023/24 that has been signed entails the following provisions:
1. A two-year multi-term agreement for the financial year 2023/24 and financial year 2024/25.
2. Pensionable salary increases of 7.5% for employees on levels 1 12 packaged as follows:
a) Translation of the current non-pensionable cash gratuity at the value of 4.2% on the baseline.
b) A nominal increase of 3.3% across the board.
c) Pay progression of 1.5% for all qualifying public servants shall continue as per the existing dispensation across all departments.
The department said the non-pensionable cash allowance will be translated into the pensionable increase on the baseline with effect from 1 April 2023, without disadvantaging any employee in terms of the cash net effect into the pocket.