SARS inches closer to strike as PSA puts tax body on notice

SARS Commissioner Edward Kieswetter.
SARS Commissioner Edward Kieswetter.
Photo: Freddy Mavunda
  • The Public Servants' Association served the SA Revenue Service with notice of an intention to strike following a deadlock during wage talks.
  • The union is demanding a CPI plus 7% increase be applied to across the board and says the employer made a final offer of a zero percent increase. 
  • If the deadlock is not broken ahead of time, the PSA strike is expected to begin next week Thursday.

The Public Servants' Association (PSA) has put the South African Revenue Service (SARS) on notice that it intends to go on strike after it reached a deadlock with the tax body during wage negotiations.

If the deadlock at the Commission for Conciliation Mediation and Arbitration (CCMA) is not broken ahead of time, the PSA strike is set to begin next week Thursday. The union served SARS with notice of a strike in terms of section 64 of the Labour Relations Act. The union is demanding a CPI plus 7% increase be applied to across the board.

PSA general manager Marcus Ramakgale wrote a letter to SARS Commissioner Edward Kieswetter on Wednesday notifying him of the union's plans to strike if the employer was not willing to budge from its final offer of a zero-percent wage increase.

"The outcome of the conciliation was that the dispute remained unresolved, and the CCMA Commissioner issued a certificate to that effect on 31 March 2022. Parties deliberated on the picketing rules and the CCMA ruled on the picketing rules on 13 April 2022," Ramakgale wrote.

Ramakgale told Kieswetter in the letter that the PSA was prepared to resolve the dispute through negotiations to avoid a strike, if the employer was willing to adjust its position.

READ | SARS hits gold refinery, home of director with search and seizure

PSA said it demands full and equal medical aid and housing allowance for all employees. The union also demands an annual adjustment upwards on pay progression of 1.5%.

SARS spokesperson Siphithi Sibeko the tax body was waiting for formal documentation including approval from the local authority for industrial action to commence. Sibeko said SARS will respond in due course.

Get the biggest business stories emailed to you every weekday.

Go to the Fin24 front page.

We live in a world where facts and fiction get blurred
In times of uncertainty you need journalism you can trust. For 14 free days, you can have access to a world of in-depth analyses, investigative journalism, top opinions and a range of features. Journalism strengthens democracy. Invest in the future today. Thereafter you will be billed R75 per month. You can cancel anytime and if you cancel within 14 days you won't be billed. 
Subscribe to News24
Rand - Dollar
Rand - Pound
Rand - Euro
Rand - Aus dollar
Rand - Yen
Brent Crude
Top 40
All Share
Resource 10
Industrial 25
Financial 15
All JSE data delayed by at least 15 minutes Iress logo
Company Snapshot