Faced with the prospect of losing vital electoral support, the ANC-led government has caved in to threats from the Congress of SA Trade Unions (Cosatu) by agreeing to a two-year delay in the introduction of the compulsory annuitisation of two-thirds of provident fund savings on retirement.
The decision came after Cosatu threatened to withdraw its support for the ANC in the forthcoming local elections if the law was implemented.
This is yet another government blunder that comes at a huge cost to the country shortly after another monumental mistake by President Jacob Zuma when he fired Nhlanhla Nene as finance minister in December.
The signing into law of the Taxation Laws Amendment Act by Zuma has already had a devastating impact on the country.
Thousands of civil servants, mostly teachers, nurses and police officers, have resigned in a mad rush to cash in their pensions.
Correctional Services has also been hit by an exodus of prison officials, whose departure has compromised prison security.
As usual, the ultimate casualties of these serial blunders by government are ordinary citizens who will probably be deprived of vital services as a result of the mass resignations of public servants.