Public service co-ordinating bargaining council (pscbc) resolution 1 of 2018: agreement on the salary adjustments and improvements on conditions of service in the public service for the period 2019/2020. 


PSCBC Resolution 1 of 2018 provides among others for the following cost of living adjustments for employees on salary levels 1 to 12 and those employees who are covered by Occupation Specific Dispensations (OSDs), and those who are appointed in terms of the Public Service Act, 1994, the Correctional Service Act, 1998, the Police Act, 1995, and the Employment of Educators Act, 1998.

Salary adjustment for the period 1 April 2019 to 31 March 2020, effective from 01 April 2019, for employees on salary level 1-12

LEVELS1 April 2019- 31 March 2020
CPI5.2%
Level 1-76.2 % (Projected CPI of 5.2% plus 1%)
Level 8-105.7% (Projected CPI of 5.2% plus 0.5%)
Level 11-125.2% (projected CPI only)

DETERMINATION BY THE MINISTER FOR THE PUBLIC SERVICE AND ADMINISTRATION (MPSA)

In accordance with section 5(6)(a) of the Public Service Act, 1994, PSCBC Resolution 1 of 2018, which regulates the improvement in conditions of service of employees, is deemed a determination made by the MPSA in terms of section 3(5) of the Act for Public Service Act appointees.

The minister of Finance announced in his Budget Vote speech on 20 February 2019 that the National Treasury projects the CPI for 2019/2020 at 5.2%. Therefore, the MPSA’s determination for a cost-of-living adjustment for salary levels 1 to 12 in terms of PSCBC Resolution 1 of 2018 constitutes as stipulated above with effect from 1 April 2019.

Implementation by National Treasury (PERSAL) and Department of Defence (PERSOL)

The translation of employees on salary levels 1 to 10 and affected OSD employees to their revised notches, as well as the translation of employees on salary levels 11 and 12 (MMS members) and affected OSD employees to their revised Total Cost-to-Employer (TCE) packages, will be dealt with as follows:

  1. Salary levels 1 to 10 and OSD employees remunerated by means of a notch PERSAL/PERSOL will implement the translation to the revised notches programmatically.
  1. Salary level11 and 12 and OSD employees remunerated by means of a TCE package PERSAL/PERSOL will implement the translation to the revised TCE packages programmatically in the following manner:
    • Employees admitted to GEPF
    • The components “basic salary” and “employer’s contribution to the GEPF” are adjusted accordingly.
    • The adjustment to the component “Flexible portion” is added as default to the item “non-pensionable cash allowance”.
    • Employees not admitted to the GEPF
    • The adjustment to the entire TCE package is added as default t the item “non-pensionable cash allowance” in the component “Flexible portion”.
  1. TCE package employees may re-structure their packages, effective from 1 April 2019, if they wish to do so.

PAY PROGRESSION

Parties agreed to the equalization of pay progression across the public service at 1.5% on a yearly basis.

HOUSING

Parties agree to the delinking of spouses on the payment of the housing allowances. Clause 7.1.4 (b) of PSCBC Resolution 2 of 2004 will then no longer apply to those employees who are entitled to housing allowance.

The increase of the housing allowance on a yearly basis is guaranteed as per clause 4.6 of PSCBC Resolution 7 of 2015 with an increase by the average consumer price index (CPI) for predated financial year.

Parties agreed that it will be the employer’s onus to develop a definition of a Permission to Occupy (PTO) and to disseminate it to all departments for ease of implementation.