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SAMWU National Day of Action: Municipal Workers Protest Treasury Funding Cuts

PRETORIA, Gauteng — The South African Municipal Workers’ Union (SAMWU) is proceeding with its highly anticipated SAMWU National Day of Action this Thursday, mobilizing municipal and water sector workers to protest against local government funding constraints, wage disputes, and what the union describes as severe austerity measures imposed by the National Treasury.

Dumisani Magagula, General Secretary of SAMWU, outlined the union’s grievances, confirming that the planned march will target the Department of Cooperative Governance and Traditional Affairs (COGTA), the Department of Water and Sanitation, and the National Treasury. The union is demanding a comprehensive review of the municipal funding model, an end to the outsourcing of workers, the scrapping of wage caps, and the immediate cessation of victimization against shop stewards and employees.

A central point of contention driving the protest is the National Treasury’s recent decision to withhold the equitable share of funding from 69 municipalities. Magagula condemned the move, arguing that it directly sabotages service delivery and jeopardizes the salaries of workers. He emphasized that the equitable share is specifically generated to provide basic services to indigent communities, the elderly, the disabled, and those unable to pay, meaning the funding freeze disproportionately harms the most vulnerable.

While acknowledging the Auditor-General’s concerns regarding financial mismanagement and the excessive use of consultants in local governments, Magagula insisted that the solution is not to strip municipalities of their operating funds. He called for targeted consequence management for corrupt or incompetent officials, improved revenue collection systems, and ensuring that government departments pay for the services they consume, rather than applying a blanket approach that halts salaries and service delivery.

The SAMWU leader did not mince words regarding the national government’s fiscal approach, accusing the Minister of Finance of having “gone rogue.” Magagula argued that implementing austerity measures to manage municipalities is counterproductive and politically motivated, especially in an election year. He cited the City of Johannesburg as a prime example, noting that after a duly negotiated salary settlement was reached and the executive mayor confirmed the financial capability to pay it, the National Treasury threatened to place the city under administration if the workers were paid.

Beyond municipal finance, the union is also challenging the disestablishment of water sectors. Magagula specifically pointed to the dissolution of Umgeni Water without adequate consultation, arguing that such moves strip communities of essential services without offering viable alternatives.

The union has set a strict 14-day deadline for the relevant ministries to respond to their memorandum and has demanded an urgent roundtable discussion with the ministers of COGTA, Water and Sanitation, and Treasury in a single room. Additionally, SAMWU is escalating the matter to the Premier of Gauteng, the provincial MEC for Local Government, and the South African Local Government Association (SALGA).

If the 14-day ultimatum passes without a satisfactory resolution, Magagula warned that the union’s Central Executive Committee (CEC) will convene to decide on the next steps, which could include rolling mass action to ensure the rights of workers are not trampled upon.

 

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