SARS Tax

(Gallo Images / Sowetan / Elijar Mushiana)

SARS strike continues, unions challenge Edward Kieswetter

At the heart of the impasse is a bitter wage dispute.

SARS Tax

(Gallo Images / Sowetan / Elijar Mushiana)

The South African Revenue Services’ (SARS) operations will remain in limbo, as strike action undertaken by the Public Servants Association (PSA) enters its second day.

With various trade unions throwing their weight behind the PSA, it’s likely that the SARS strike will continue next week, as stakeholders struggle to reach an agreement. According to a statement released by the PSA, 50% of SARS’ total workforce will continue to down tools, with more employees expected to join the fray in coming days.

Wage dispute deteriorates further

At the heart of the impasse is a bitter wage dispute. The PSA, backed by trade unions, is calling for an 11.4% wage increase. SARS has countered with a proposed 7% across-the-board increase for Bargaining Unit employees. The Commission for Conciliation, Mediation and Arbitration (CCMA), which oversaw the initial dispute, has settled on an 8% increase which is intended appease both parties. It’s alleged that at one stage both the PSA and SARS were nearing an agreement but talks rapidly deteriorated on Monday evening.

The Federation of Unions of South Africa (FEDUSA), along with the National Education, Health and Allied Workers’ Union (NEHAWU) have joined the call to embark on industrial action against SARS. FEDUSA issued a statement on Thursday, announcing its support for the PSA and the disgruntled SARS employees, saying:

“Government’s failure to fill vacant posts means that the workloads of PSA members at SARS and throughout the public service, remains severely constrained, yet salaries remain stagnant.

It is absolutely evident that the employer is not serious about resolving the current wage deadlock to avert the looming strike.

It is therefore imminent and unavoidable that the strike, commencing today, will continue, unless Commissioner Kieswetter can live up to his reputation as the credible authority to restore the confidence in the entity.”

SARS strike a headache for Edward Kieswetter

According to Tahir Maepa, the deputy general manager at PSA, the SARS strike is bound to have dire economic consequences for the country. Maepe confirmed that customs officials had been removed from all points of entry into South Africa, meaning that goods will not enter the country until the wage dispute is resolved. Maepe added:

“Don’t even bother going to Sars officers today because you won’t be served.”

Newly appointed SARS commissioner, Edward Kieswetter, has been challenged by trade unions during his first week on the job. Striking employees, led by their respective unions, are ordering Kieswetter to make an executive decision on the wage dispute.