Dear ISA members
The reward and remuneration project fiasco
The unions jointly itemised the agenda for the meeting on Tuesday 26 April 2016 which was long but the essentials of the meeting are as follows:
To recap: during the month of November 2015, the 50% back pay was initiated by the employer which had erroneously left out some staff completely, paid some staff correctly, and some over 50%. The back pay was actually 33% of the back pay from 1 April 2015 to 30 November 2015 (8months), the remaining 17% was paid from December 2015 to March 2016 on a month to month basis.
On 26th April 2016, the employer was supposed to have sorted out all the irregularities of the November 2015 implementation of the 50% back pay but the letters that went out was confusing and hard to understand and unions have picked up via their members that there were still some errors in the calculations. Also, it was expected as per 4.6 of the agreement signed by labour and the employer, that 100% of the back pay would be implemented by 26 April 2016.
Labour’s interpretation was that 100% of the pay scale, meaning 50% in November 2015 and the remaining 50% paid by the 26 April 2016, will effect a 100% implementation. The employer on the other hand says that they have effected the 50% back pay in November 2015 and on the 26 April 2016 they brought all staff to the minimum of the pay scale, so for the 2016/17 implementation phase they have met the brief of the agreement. This matter remains in dispute with the unions.
The unions are dissatisfied with the employer reactions and now have to decide on its stance on the dispute over the back pay. This will probably be reverted to the CCMA.
Errors
As for the errors of which ISA has had many members complaining, the employer is prepared to look at all queries emanating from the letters sent out to all staff. We urge staff to send all their queries to their local HR managers for consolidation and the NHLS Executive HR manager, Dr Mosia, has promised to resolve all of them. The unions made submissions of some of the irregularities and demanded a detailed explanation of how the calculations were done.
Back pay settlement period
The unions also requested that a letter to be sent to the employees owing money stating that the monies owed will be recovered over 12 months and should staff have a problem repaying the money over 12 months due to their financial circumstances, they can approach their local HR Department to negotiate settlement terms so as not to compromise them.
The unions also requested that no deductions be made until after the communication has gone out to staff and until issues of repayment due to financial constraints have been resolved. Unions place on record that the employer said that no deductions were effected in the April 2016 pay run.
Road show
The unions also the requested the employer to go on a road show to appease workers and this was agreed to by the employer. This schedule will be made available to staff in due course.
Tax
The taxation issue was raised and the employer said that the IRP5 would resolve this issue. All staff that had overpaid their tax in the financial year will be reimbursed by SARS. Those who have to pay SARS huge amounts of money (which is unlikely, according to the employer), will be given an opportunity to engage the HR on this matter and an amicable solution would be found.
Migration of core staff
As for the migration of the core staff to the general scales, it was said that like-for-like grades were transferred to the new pay scale, meaning that staff can compare their current grade to the new scale.
There were no downgrades of staff according to the employer; however, if any staff has been downgraded, they should contact their union and the local HR office.
Staff who has not be moved to the minimum of the new pay scale should do the same.
The unions have also requested that the employer issue a communiqué of frequently asked questions and their explanations. This was accepted and will be sent via the General Communication.
Proficiency
The proficiency implementation was laboured at the BLRF and the employer is still sticking to their deadline of October 2016 for implementation. They also mentioned that unions must not raise staff’s hopes as the principles and frame work of the proficiencies have not been finalized.
D band
The D band salary scale implementation remains for end of July 2016, effective 1 April 2016. Unions requested that at least a 50% back pay to 1 April 2015 be effected and this was rejected by the employer stating that the Board has decided on the implementation date.