Economics

South African Unions Reject State’s Bid to Renegotiate Pay

  • Cosatu says pushing plan through will be ‘declaration of war’
  • Mboweni is seeking to rein in expenses, spur economic growth

Photographer: Rajesh Jantilal/AFP Getty Images

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South African labor unions have rejected a government proposal to review planned increases for civil servants days before they were due to be implemented.

The Public Servants Association, which represents 230,000 government workers, said the state on Tuesday asked to review the last leg of a three-year pay agreement because it couldn’t afford it. Finance Minister Tito Mboweni is due to announce the annual budget on Wednesday.