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Despite the Covid-19 pandemic, the district attorney for eThekwini stated that the municipality has no plans to adjust increases, bonus structures and wages for fiscal year 2020/2021.
On Thursday, Nicole Graham, DA leader on the eThekwini board, said the draft 2020/2021 budget, to be presented to the board in late May, saw a 9.5% rise in personnel costs that jumped from R11. .6 billion in 2019/2020 to R12.7 billion in the next financial year.
“The district attorney has also been reliably informed that 13 staff checks remain in the budget to the tune of R600 million. This is in addition to a 6.25% staff increase and performance bonuses,” he added.
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Graham said the party had written to city treasurer Krish Kumar and deputy mayor Belinda Scott, who chairs the finance portfolio, “to determine exactly what these figures are and demand that they be removed.”
Are there no wage cuts for older people?
“As far as the DA can determine, all staff were paid their full wages during the shutdown and no pay cuts have been implemented for senior staff or executive committee advisers.”
He added that the pay cuts were a recommendation that seemed to have broad support at the executive committee level “but was simply never sanctioned.”
On April 23, Mayor Mxolisi Kaunda said the municipality’s administration and political leadership would have several options to donate a portion of their salary to the City’s Covid-19 support fund on a voluntary basis.
“In the real world, beyond protected government employment, people are cutting wages and businesses and families are desperately trying to find ways to make ends meet.
Fighting
“The eThekwini township has offered very little relief to those who are struggling and the rates will increase again in exorbitant amounts,” said Graham.
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He added that the metro’s cash flow was in serious trouble, with a collection rate of 55% for the last month of billing.
“All projections indicate that the municipality is quickly running out of money and, if the trend continues, it will have very little cash left in a few months.”
Graham added: “Therefore, it is simply unacceptable that the personnel costs in the municipality increase by more than R1 billion in the next financial year and that the municipal personnel receive increases, number 13 checks and performance bonuses.”
In response to the claims, municipal spokesperson Msawakhe Masiyela said the City was “doing everything possible” to minimize the costs associated with the basic services that were provided.
Basic services
“We will never be happy that our residents pay a significant amount of money for these services, however we are under the control of Covid-19.”
He said the city was responsible for “complying with its constitutional mandate to provide basic services endlessly.”
“And it requires income to fulfill that constitutional mandate. As we speak, we have reserved about R70 million for social aid exclusively for the poor during this difficult period.
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“Why would the city be labeled as indifferent? We call on the opposition to refrain from using the country’s difficult situation to earn cheap political points.”
Masiyela said the question of salary increases would be decided in the negotiating council.
“The City cannot make a unilateral decision to reverse the binding agreement in this regard. We have stated numerous times that we will review comments on our proposed budget.”
He added: “We do not invite residents to comment on this proposed budget solely to check boxes.”
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