Cosatu has vowed on Thursday to hold mass protests until the new tax rules are scrapped.
The trade union federation came out strongly against the new ‘Tax Administration Amendment Bill’ declared as a law by President Jacob Zuma last month.
Cosatu president Sdumo Dlamini has stated that “there was no consultation on this matter. Government would have steamed ahead without taking our own views over this matter, in particular Cosatu views.”
In the media conference on Thursday, Dlamini stated clearly that they would call for mass action if the matter was not addressed.
“Going forward we shall act urgently to mobilise workers and galvanize workers.”
“We’ll also include provincial marches. This will be in preparation of a massive general strike, that is meant to coincide with the implementation of this law which is the first of March 2016 subject of course to the Nedlac engagement tomorrow (Friday).”
However, Dlamini said that President Zuma could still show that he is not as weak as he is ‘perceived’ if he listens to the people by scrapping the law. These are comments echoed by other prominent members of the trade union.
Last week, The African National Congress (ANC) said it had met with its alliance partner over how pensions will be paid out. The Presidency said that more than 40 consultative meetings had been held about the new tax laws. Cosatu president Sdumo Dlamini says that is simply not true.
Workers are concerned that the new Act, if enforced, will prevent them from accessing all their pension money when they resign or retire from their jobs.
From 1 March, according to the new law, employees will will only have access to one third in cash, while two-thirds will be paid out in installments upon retirement.
The labour federation says government does not have the right to dictate to workers how and when they can spend their retirement savings.[Source: IOL]