COSATU Rejects Proposed 4.1% Salary Hike for South African Public Office Bearers

COSATU Slams Proposed Salary Increase Amidst Economic Hardship

The Congress of South African Trade Unions (COSATU) has issued a strong rejection of a proposed 4.1% salary increase for public office bearers, including politicians, judges, and government officials, for the 2025/2026 financial year. The federation described the recommendation as 'tone-deaf' and 'morally indefensible', highlighting the stark contrast between the proposed hikes and the economic struggles faced by ordinary South Africans.

The proposal, put forth by the Independent Commission for the Remuneration of Public Office Bearers, was met with outrage from COSATU, which argued that such an increase would be unfair given the rising cost of living and the burden of higher taxes on citizens. COSATU Parliamentary Coordinator Matthew Parks stated, 'It defies logic that a month after the Minister of Finance, Enoch Godongwana, warned Parliament and the nation that further tax hikes may be a necessity in 2026, that the Commission thought proposing an additional R536 million to fund the salaries of politicians, commissioners and judges is morally justifiable.'

Financial Implications and Public Outcry

The trade union federation emphasized that the proposed increase would cost the state an estimated R536 million. COSATU expressed particular concern over the inclusion of more than 9,000 municipal councillors in the salary adjustments, especially given that many municipalities are experiencing financial difficulties and failing to meet their obligations, including paying staff salaries and contributing to pensions.

Instead of increasing salaries for public office bearers, COSATU advocates for these funds to be reallocated to critical public services. 'If the government has spare funds, these should be used to hire doctors, nurses, teachers, police officers and other frontline workers who are desperately needed in working-class communities,' Parks asserted.

Differentiated Approach and Call for Performance-Based Remuneration

While rejecting the overall proposal for politicians, COSATU did express support for a differentiated approach regarding the judiciary. The federation indicated it would back a 3.5% increase for judges and magistrates, acknowledging their extensive legal qualifications and experience and the need to prevent a 'brain drain' within the judicial system.

COSATU has urged President Cyril Ramaphosa to reject the Commission's recommendation for politicians and to amend the terms of reference for future increases. The federation calls for remuneration to be linked to the performance of public representatives and the institutions they oversee, and for proposals to be subjected to public comment before presidential approval.

Context of South Africa's Cost-of-Living Crisis

The rejection comes against a backdrop of a severe and ongoing cost-of-living crisis in South Africa. Since 2016, citizens have faced significant increases in expenses that have far outstripped salary growth. Key factors contributing to this crisis include:

• High inflation, particularly in groceries and transport, with wages failing to keep pace.
• Soaring food prices, which increased by nearly 40% between December 2019 and December 2024.
• Double-digit electricity hikes and persistently high interest rates.
• A significant portion of the population living below the poverty line; over 60% in 2023.

The proposed salary adjustments would see substantial increases for top officials, including President Ramaphosa's salary rising by R137,000 to R3.4 million annually, and Deputy President Paul Mashatile's by nearly R130,000 to R3.1 million per year. Cabinet Ministers could also see an increase of R110,000, bringing their annual earnings to R2.8 million.