After months of postponed meetings and delays, the verdict regarding the possible retrenchment of 248 staff at Inkosi Langalibalele Local Municipality is in.
“The retrenchments have been prevented,” confirmed Municipal Manager Patrick Mkhize in Tuesday morning.
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He explained that a mutual agreement had been reached on June 4. This included worker unions South African Municipal Workers’ Union (SAMWU) and Independent Municipal & Allied Workers’ Union (IMATU).
“The municipality and unions have reached an agreement under the auspices of the Commission for Conciliation Mediation & Arbitration (CCMA) that the parties support an application to the South African Local Government Bargaining Council for an exemption not to implement the 6.5 percent salary increase applicable to all employees in local government as from July 1, 2019,” he said.
This decision, Mr Mkhize says, was taken to avoid retrenchments, which came about due to the dire financial situation at the municipality.
“The municipality has also put in place a recovery plan in terms of debt collection as well as reducing the creditors over a period of time,” added Mr Mkhize.
All stakeholders are expected to review the municipality’s financial status after 12 months to consider the next step in the process.
The Senior Commissioner of the CCMA Humphrey Ndaba expressed his appreciation with the ‘constructive and mature manner’ that was engaged to save jobs.
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