06 Feb 2022

Trade unions are expecting a mention of public service employees’ salaries adjustment in the national budget speech that Minister of Finance and Economic Development, Ms Peggy Serame is expected to deliver today. 

Botswana Federation of Public Sector Unions (BOFEPUSU) secretary general, Mr Tokokani Rari said in an interview that prices had gone up, including that of transport, rent, fuel and other services, hence eroding government employees’ purchasing power. 

He said the COVID-19 pandemic had not only affected the national economy, but had seriously impacted on the household income, hence the need for salary adjustment for the public service, to cushion them against soaring prices. 

Mr Rari, who is also Botswana Sectors of Educators Trade Union (BOSETU) secretary general, however, commended government for finally agreeing to meet with unions to discuss the matter. 

Earlier on, a letter dated January 26, from  Directorate of Public Service Management (DPSM), had stated that the union’s intent to negotiate for salary adjustment had come at the tail end of the budget process and that economic challenges left no room for public salary adjustment for the 2022/23 financial year. 

The letter further requested to defer salary increment and other conditions of service negotiations, pending improvement on the economic situation. 

DPSM however later retracted its earlier statement as the letter was issued prior to completing the necessary internal consultations, including obtaining a mandate from Minister for Presidential Affairs, Governance and Public Administration with respect to government’s position on the matter.

Government reassured the unions that government remained wholly committed to fostering and maintaining harmonious industrial relations, which are anchored on the principle of collective bargaining. 

Mr Rari welcomed the new development, saying that it was important for the two parties to meet and have an open and transparent negotiation. 

“The only thing we can do is to accept the apology and trust that they will meet us. We do not know whether the reasons they put forward earlier still stand and will be just meeting us as formality. We will send our position paper next week,” he said. 

He said failure to meet would impact negatively on the relationship between government and trade unions, adding that it may result in unions lodging a dispute with the Department of Labour. 

“We have no desire to declare an industrial revolution, at the moment we want to meet them and talk. If they convince us that indeed government has no money for salary increment then we will understand,” Mr Rari said. 

Botswana Federation of Trade Unions (BFTU) on the other hand expected the budget to shed some light on the extent to which the maladies highlighted in the previous budget had been addressed. 

The BTFU’ Secretary General, Mr Thusanang Disale said his union was hopeful that Minister Serame would brief the nation on how the current budget would help resuscitate the ailing economy as acknowledged by his predecessor. 

Furthermore, he said the inflation rate was expected to be high until 2023, mainly due to the rise in Value Added Tax, several levies, electricity tariffs, international fuel and commodity prices. 

He said policy makers should not to be tempted to raise interest rates as this would suppress investment and lead to economic recovery slow down. 

Mr Disale said the country was facing long term challenges such as lack of economic diversification, declining revenues, high unemployment and income and wealth inequalities, which had been exacerbated by COVID-19, which gobbled up national savings. BOPA