FEDUSA

The Federation of Unions of South Africa (FEDUSA) is cautiously optimistic regarding South Africa’s economic outlook despite the uncertainty in the global economy, as put forward by Finance Minister Pravin Gordhan during his Budget Speech.  However, concerns include unemployment, lacking public expenditure, the road tolling, lacking capacity of public servants, as well as fraud and corruption.

When analysing the 2012 Budget it is important to look at how South Africa is going to change systemic problems, rather than throwing money at the problem. FEDUSA is in favour of increasing the budget deficit to 4.6% of Gross Domestic Product (GDP) in the short term with the plan to reduce the deficit to 3% of GDP over the 2014/15 period with public debt set to stabilise at about 38% of GDP.

While FEDUSA welcomes the Finance Minister’s projected economic growth rate increase from of 3.6% in 2013 to 4.2 % in 2014, the excessively high unemployment rate of 23.9 per cent remains a great concern.

“It is evident from the Minister’s R1.1 trillion budget; that infrastructure development, employment creation, higher growth and poverty eradication are at the heart of this year’s recovery and growth plan. FEDUSA is committed to taking hands with our social partners in Organised Labour, Organised Business, Government and Community to ensure the implementation of the New Growth Path (NGP) and National Development Plan (NDP) growth strategies,” commented FEDUSA General Secretary Dennis George.

Continue reading FEDUSA POSITIVE ABOUT GORDHAN’S BUDGET

As the Federation of the Unions of South Africa (FEDUSA) and its Affiliates await Finance Minister, Pravin Gordhan’s 2012 Budget Speech it takes cognisance of the progress South Africa has made thus far and the challenges that still lie ahead.

“South Africa still faces severe problems of mass unemployment, underemployment, poverty and inequality. Though its fiscal policy, our Government can make significantly contributes to employment creation and poverty reduction by shifting the composition of government spending, increasing the tax-financed level of government spending and increasing the fiscal deficit over the short term,” explained FEDUSA General Secretary, Dennis George.

The International Monetary Fund (IMF) reported in its forecast that South Africa will achieve a GDP growth of 2.4% in 2011, 3% in 2012 and 3.7% in 2013. These low growth projections are a direct result of the global economic recession particularly evident in Euro Zone countries and United States of America, with the IMF estimating global GDP at an annualized rate of 3.5%.

The Minister of Finance announced in his Medium Term Budget Policy Statement (MTBS) that South Africa’s deficit will increase to 5.5% of GDP in 2012 before declining to 3.3% in 2014/15. Government predicted that our revenue will decline and government debt will increase to about 40% of GDP by 2015. Although Statistics South Africa reported that about 365 000 jobs were created during 2011, FEDUSA notes with concern that the consumer price indices for all urban areas have increased from November 2011 to December 2011 by 2% to 6.1%.

Continue reading FEDUSA’S 2012 BUDGET POINTS FOR PRAVIN

The Federation of Unions of South Africa (FEDUSA) is very concerned by recent newspaper reports indicating that plans are underway to transfer local passenger rail services (Metrorail), under the current function of the Passenger Rail Agency of South Africa (PRASA) to the control of the cities of Cape Town, Johannesburg and Durban.

“Chapter 7 of the Constitution makes no provision for municipalities to control and run local passenger railway operations. Unless the Government wishes to make legislative changes to our Constitution, metropolitan railway services should remain under the jurisdiction of PRASA,” explained FEDUSA General Secretary, Dennis George.

FEDUSA is concerned by this seemingly unilateral decision that Government has taken without entering into any consultation with Organised Labour. “Our Federation is yet to be officially informed of any such decisions, yet out members are the people that are going to be affected. A venture of this nature will have serious implications for FEDUSA members at Metrorail with specific reference to provisions made under the Labour Relations Act, retirement funds and other statutory bargaining matters,” outlined George.

FEDUSA has requested a meeting with the Minister of Transport, Sibusiso Ndebele, to clarify how this transfer is being proposed to take place, which workers and current structures will be affected and what the foreseeable impacts this decision will have on workers in the transport sector.

The Federation of Unions of South Africa (FEDUSA) will be picketing against HIV/AIDS discrimination in the workplace tomorrow afternoon at 13h00, 1 Park Road, Richmond, Johannesburg. FEDUSA joins the calls of the International Trade Union Council (ITUC) and SECTION 27, a South African human rights organisation, in urging the authorities of Qatar to end discrimination on grounds of HIV status in their country.

“Our organisation could not believe that a South African journalist was dismissed, detained and deported from Qatar simply on the grounds of his HIV positive status,” said FEDUSA General Secretary, Dennis George.

The journalist, who wishes not to be named, underwent medical tests in order to attain his work permit, but was not informed of the nature of the tests, or informed of the results. On discovery of his HIV positive status his employer, Al Jazeera, ensured he was detained in Doha State Prison, dismissed and immediately deported. The journalist was only informed of his status upon returning to South Africa.

FEDUSA is both shocked and concerned about this humiliating violation of human rights and will join the protest outside of the Al Jazeera offices to show its support for the intervention of the ITUC in this regard.

Continue reading FEDUSA TO PICKET AGAINST HIV/AIDS DISCRIMINATION