FEDUSA

Prof Carel van Aardt

The Federation of Unions of South Africa (FEDUSA) is calling on the Monetary Policy Committee (MPC) for an interest repurchase rate cut of at least 100 basis points in order to stimulate our economy and lessen the burden on working people. This call is premised on International Monetary Fund (IMF) research, FEDUSA Affiliate UASA’s recent optimal prime rate study, as well as global macroeconomic trends. This study made some startling findings that support FEDUSA’s long-time efforts to have the South African Reserve Bank (SARB) mandate reviewed.

“The rest of the world is starting to realise that inflation targeting alone is a narrow and outdated method of stabilising our economy,” stated Krister Janse van Rensburg, FEDUSA Deputy General Secretary. “Yes inflation is important for the purpose of price stability, but it should not supersede the creation of sustainable jobs,” he said.

FEDUSA is calling for the interest repurchase rate to be cut by 100 basis points tomorrow to soften the blow of increasing petrol and electricity prices. FEDUSA, supported by a growing number of leading economists, believes that the SARB’s monetary policy focuses on only one instrument, namely the short-term interest rate, to directly control inflation which is actually structural by nature.

“The MPC needs to fully take account of the Finance Minister’s letter to the SARB Governor last year, where he explicitly requested the Committee to be more flexible in their approach and also include other issues when considering the repo rate.  We cannot afford to maintain interest rates at the current level if we are really serious about stimulating the economy and creating jobs”, added Janse van Rensburg.

Continue reading FEDUSA CALLS FOR 100 BASIS POINT REPO RATE CUT

Representatives from the Federation of Unions of South Africa (FEDUSA) will be participating in meetings with the Trade Union Advisory Committee (TUAC) and Organisation for Economic Co-Operation and Development (OECD) in Paris this week, to prepare for the G20 Heads of State Summit later this year.

FEDUSA General Secretary Dennis George will firstly take part in the TUAC Working Group Meeting on Economic Policy in preparation for the OECD Ministerial Council Meeting later this week. During discussions and planning around addressing the current economic and financial crisis, key areas of concern have been identified as; global unemployment, future policies and implementation by the IMF and World Bank, International Monetary Reform and the Trade Union Taskforce’s New Growth Model.

This year will mark the 50^th Anniversary of the OECD. Currently the global economy is struggling to emerge from the recent great recession and for most working families economic relief is yet to come. Unemployment rates in the OECD are 50% higher than in 2008 and projected growth rates will be insufficient to bring these down anytime soon.

Continue reading FEDUSA REPRESENTATIVES EN ROUTE TO PARIS FOR G20 PREPARATIONS

On the eve of Human Rights Day, we the Federation of Unions of South Africa (FEDUSA) celebrate our past achievements and take cognisance of what we as a federation can do better in the future.

The 21 March is an annual remainder to all South African citizens of the pain, hardship, perseverance and unrequited determination it took to overthrow a racist regime and replace the legacy of Apartheid with the principals of freedom, democracy and social justice.

Continue reading FEDUSA COMMEMORATES HUMAN RIGHTS DAY

The Federation of Unions of South Africa (FEDUSA) welcomes the recent Constitutional Court ruling that Parliament must ensure the Hawks unit is given full independence. In the face of the ruling party’s swift disbanding of the Scorpions, FEDUSA will be keeping a close eye on upcoming parliamentary legislation pertaining to this specialised crime fighting unit.

While FEDUSA is pleased with the outcome of the court ruling, we remain concerned that this constitutionally invalid action was not dealt with sooner and in an open and transparent manner. “This ruling is not only about the legitimacy of a specialised police unit,” said FEDUSA General Secretary, Dennis George, “South African law must uphold and embody the principles of the separation of powers and the independence of agencies”

The declaration of invalidity was suspended for eighteen months in order to give parliamentary lawmakers time to correct the legislation. “An agency with the job specification of rooting out corruption cannot be subject to any type of political influence,” stated George. FEDUSA believes in the constitutionally entrenched separation of powers and would hope that parliament uphold these principles while amending chapter six of the South Africa Police Service Act.

The Scorpions were repeatedly accused of driving a political agenda and then subsequently disbanded in the middle of the arms deal scandal. “If taxpayers’ money is involved, officials must know that no one is above the law,” reiterated George. A specialised unit, irrespective of its name, must be made up of strong, effective and well skilled individuals who carry out their work without fear or favour and very much separate from any political meddling.

A specialised unit of this nature must be allowed to fight against organised crime, corruption, nepotism and cronyism unabated and completely separate from the executive. “How can people in power be effectively held accountable, if they are the same individuals directing and interfering in investigations,” asked George, “FEDUSA strongly believes that there can be no progress without democracy.”

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FEDUSA is the largest politically non-aligned trade union federation in South Africa and represents a diverse membership from a variety of sectors in industry.  See www.fedusa.org.za for more information.

For more information:

FEDUSA

Dennis George (General Secretary)

084 805 1529

Anja Muller-Deibicht (Media and Communications)

073 713 6173