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Workers worse off than a year ago: Cosatu

Date Posted: Thursday 01-May-2008

Trade unions should ensure that this year's wage demands fully compensate workers for the drop in their real standard of living in the past year, the Congress of SA Trade Unions (Cosatu) has said in its May Day message.

"The increases that we negotiated last year may have seemed good at the time, but they have been cancelled out by rising inflation," said spokesperson Patrick Craven.

He said if one disregarded government services, including the increase in social grants and pensions, workers were "in every respect" worse off than a year ago.

"Our families have been battered by a tsunami of price increases. Throughout the world the prices of bread, maize meal, rice, milk, and transport have been rising every month," he said.



In South Africa, the position was worsened by "criminal price-fixing", which had been proven in the bread and dairy sectors.

"Greedy companies, under cover of the global price rises, are getting together to put up their prices even higher, so they can make even bigger profits at the expense of their consumers."

The most recent interest rate hike by the Reserve Bank would not only add to the burden of thousands of workers who had had to borrow money, but would also put brakes on economic growth and jeopardise jobs.

"On top of all this we could now face a huge rise in the prices of electricity, petrol and steel, which will push up even further the prices of all commodities."

Cosatu warned employers to expect tough wage talks.

"We do not only demand compensation, but want to ensure that our wages help to address the impact of high inflation caused by the rise in food and transport costs," Craven said. Anticipating that the electricity shortage and oil supply crisis would put jobs at risk, Cosatu said it would not allow workers to pay the price for something not of their own making.



    • Source Url: http://www.iol.co.za/index.php?art_id=vn20080501063438957C399868

      Posted By: Jan
      AfricanCrisis Webmaster
      Author of: Government by Deception

      The Afrikaners: Biography of a People This is the amazing story of a white man high in Mugabes Central Intelligence Organisation who was a double agent & who saw Genocide first hand Umkhonto we Sizwe - Fighting for a Divided Nation Beyond Tears - Zimbabwes Tragedy AmericanCrisis warning  
      Readers' Comments

      Date Posted: Thursday 01-May-2008
      Cosatu aint seen nothing yet!There needs to be some kind of National Convention to plan the way ahead. The mutual admiration society type meetings run by the comrades at Polokwane and other exotic venues wont help anything .Also blaming racists, sexists,saboteurs,profiteers and others is also a waste of time.Zimbabwe Billion $ Bread Blues here we come!

      aubrey