The City of Johannesburg has defended its R10.3 billion politically-facilitated agreement with Cosatu affiliate, the SA Municipal Workers' Union, despite concerns raised by Finance Minister Enoch Godongwana.
The City of Johannesburg has defended its R10.3 billion deal with representatives of its employees to address a long-running salary increase dispute after it was flagged by Finance Minister Enoch Godongwana.
On Tuesday, the municipality appeared before a joint meeting of the National Assembly’s Standing Committee on Public Accounts and the Portfolio Committee on Cooperative Governance and Traditional Affairs for a briefing on its 2024/25 financial year audit outcomes and the steps undertaken to address and correct the audit findings.
During the meeting ANC MP Helen Neale‐May asked the municipality’s delegation, led by mayor Dada Morero, how the politically-facilitated agreement signed with the SA Municipal Workers Union (Samwu) in November last year would be implemented after Godongwana described it as a direct transaction of the Municipal Finance Management Act (MFMA).
“Can you tell me how you are going to navigate that with regards to the final assessment and how you are going to implement that considering the budget restrictions that you have at the moment?” enquired Neale‐May.
