7 March 2007
The parties to the Public Service Co-ordinating Bargaining Council (PSCBC)
have commenced with negotiations in order to conclude an agreement on salaries
and other conditions of service. In this regard the State as the employer has
tabled a comprehensive proposal in response to a list of demands from labour
parties to the PSCBC.
Instead of only focusing on salary adjustments, the employer offers a
package of conditions of service to be improved over the next few years. It is,
therefore, the intention of the employer to secure a four-year agreement (i.e.
for the period 1 July 2007 to 30 June 2011) which includes amongst others the
following objectives:
* to ensure that salaries in the public service keep pace with inflation
over this period
* to introduce a system that caters for occupation-specific differentiation
and career pathing with a view to attract and retain professionals and other
specialists with the required competencies
* to review the non-pensionable allowances in the public service ensuring
relevance
* to strengthen the conditions of service offered by the public service
* to ensure public service compliance with the Basic Conditions of
Employment Act, 1997 (BCEA).
Salary adjustment
Annual cost of living salary adjustments will be based on forward looking
Consumer Price Index excluding interest rates on mortgage bond (CPI-X) to
ensure that salaries are maintained relative to inflation. Over this period
employees will also receive an increase in salary in terms of the annual pay
progression system.
Occupation-specific dispensation
The key focus over the next few years will be to develop and introduce
occupation-specific dispensations with the aim to improve public service's
ability to attract and retain skilled employees.
The biggest challenge encountered in the public service is to remunerate
adequately the diverse categories of employees by means of a single salary
scale. This is further aggravated by the current lack of appropriate
progression and promotion opportunities in certain occupations. It is,
therefore, accepted that in a number of occupations salaries are generally not
competitive.
To address these challenges the introduction of the occupation specific
dispensations will be developed and implemented for identified occupational
categories. This will entail introducing unique salary structures per
occupation, including grading structures and job profiles as well as
progression and career pathing opportunities based on competencies, experience
and performance. Where justifiable, remunerative and compensatory allowances
currently payable will be incorporated into salaries as part of the development
and implementation of the occupation-specific dispensations. In particular the
payment of the scarce skills allowances in the health sector and the scarce
skills framework in the general public service will be discontinued with the
introduction of the occupation-specific dispensations.
The current proposal is to target health professionals and certain
occupations in which legal qualifications are required for implementation in
this regard with effect from 1 July 2007.
Allowances
Allowances are paid to compensate employees for exposure to specific
circumstances or for specific job requirements. Certain allowances are adjusted
annually on the basis of the CPI-X or in line with the cost of living
adjustments. Whilst most of the allowances have been adjusted annually, the
danger and night shift allowances have not been adjusted or reviewed since
their inception in 1999.
It is therefore proposed that the danger and night shift allowances be
adjusted by 25% as a once-off measure and thereafter be adjusted on July of
each year based on the projected CPI-X as at 1 April of that year.
Leave provisions
The leave entitlement is generally 22 working days to employees who have
less than 10 years of service and 26 working days to employees who have
completed 10 years and more service. Currently part-time nurses are entitled to
22 working days annual leave irrespective of the number of years of service.
This is substantially lower than their counterparts in the rest of the public
service. It is therefore the view that part-time nurses must qualify for 26
working days annual leave after 10 years of service.
Leave entitlements for full-time nursing staff must also be aligned to the
annual leave entitlements applicable to the rest of the public service.
Compliance with the Basic Conditions of Employment Act (BCEA), 1997
The employer has tabled a proposal that seeks to align the requirements of
the BCEA with the terms and conditions of employment in the public service. The
intentions is to ensure that there is compliance and are no double payments in
terms of certain benefits such as Sunday work as part of normal working
hours.
It is proposed that the definition of remuneration be aligned to the BCEA to
include components of allowances and benefits in the calculation of leave
payouts and other conditions of service.
Other areas
The employer is of the view that the monthly medical aid employer subsidy
for employees on Government Employees Medical Scheme (GEMS), with effect from 1
March 2007, be adjusted to the monthly monetary cap as approved by the Minister
of Finance.
The proposal also provides clarity and improvements on the service benefits
to employees appointed on short-term contracts and/ or on a casual basis.
Contact:
Lewis Rabkin
Cell: 082 497 3220
Issued by: Ministry for Public Service and Administration
7 March 2007
