In her first 100 days in office, Tshwane Mayor Dr. Nasiphi Moya has faced a series of tough decisions and significant financial challenges that have tested both her leadership and the city’s stability. A focal point of her tenure so far has been navigating the city’s wage negotiations under the South African Local Government Association (Salga) Collective Agreement. At a recent briefing, Moya spoke candidly about the ongoing wage disputes and how the city is grappling with financial constraints that have made paying municipal workers’ wage increases a difficult proposition.
During a Labour Court hearing in late November, the city sought to challenge a decision regarding salary increases. The court had ruled that Tshwane must implement a 3.5% wage hike for the first year and a 5.4% increase in the third year of the agreement. Moya argued that these increases were not feasible given the city’s dire financial situation and would strain the ability to deliver essential services to residents. Despite her appeal for exemption, the Labour Court is still considering the matter, and judgment has been reserved. The city’s plea for a fresh evaluation of the 3.5% increase remains a key point of contention.
The financial constraints have extended beyond just wage increases, with Moya also addressing the city’s other pressing issues, including the lack of potable water in Hammanskraal and the strained financial relationship with Eskom. The city is still working to pay off its debt to the state-owned utility, which has placed further pressure on its already tight budget. With service delivery being a priority, Moya has made it clear that the financial well-being of the city must come first, even if it means making unpopular decisions regarding wages.
In response to the mayor’s comments, opposition parties, particularly the Democratic Alliance (DA), have criticized Moya’s handling of the wage issue. DA caucus leader Cilliers Brink pointed out that while the ANC-led coalition had raised expectations of wage increases, it was ultimately the coalition’s decision to challenge these increases in court. Brink accused the ANC of trying to weaponize the wage dispute for political gain, despite the fact that they had previously voted against the increases in 2023. For Brink, the reality of the city’s financial challenges had now become all too apparent, and it was no longer feasible to pay historical salary increases as had been previously promised.
Political analysts, such as Piet Croucamp, have weighed in on the unsustainable nature of government salaries, noting that public sector wages have long exceeded private sector norms. Government employees in South Africa, he stated, are often earning up to 35% more than their counterparts in the private sector. This disparity, according to Croucamp, has created a situation where government salaries are simply no longer sustainable, and it has only become a hard reality when municipalities like Tshwane find themselves unable to pay their bills.
While Moya’s 100-day tenure has undoubtedly been marked by difficult financial decisions, the mayor has reiterated that the city must prioritize its long-term sustainability over short-term gains. Her approach reflects a delicate balance between fulfilling the city’s financial obligations and managing the growing dissatisfaction among municipal workers who have already faced years of uncertainty. As Tshwane moves forward, Moya’s leadership will likely be put to the test once again as she seeks to navigate the city’s ongoing fiscal crisis while maintaining the support of both residents and employees.
