As finance minister Enoch Godongwana prepares to table the national budget on Wednesday, trade union federation Fedusa has laid out an extensive wish list, urging government to prioritise workers, rebuild state capacity and reject austerity.
“South Africans are living under severe economic and social strain. Workers are battling rising food prices, escalating electricity tariffs, high transport costs and growing household debt,” Fedusa said.
It said families were forced to choose between groceries and electricity. Young people were locked out of the labour market in devastating numbers.
It said communities were confronting dry taps, sewage spills, collapsing roads, unreliable refuse removal and failing municipal services.
Clinics were overcrowded, schools lacked infrastructure and crime and organised syndicates threatened safety in townships, suburbs and rural areas alike.
“This budget must respond directly to the lived conditions of workers, the poor and ordinary South Africans. It must demonstrate whether government is serious about rebuilding state capacity, protecting livelihoods and driving inclusive growth that restores dignity.”
The trade union federation said the water crisis must be funded and ring-fenced. It said President Cyril Ramaphosa has elevated the water crisis to a national priority and that recognition must now be matched by clear, ring-fenced allocations in the budget.
It reiterated its rejection of austerity-driven fiscal consolidation.
“South Africa cannot cut public services while expecting economic growth. The budget must protect the public wage bill in real terms and strengthen front-line services in health, education and policing.”
Fedusa said government had committed to reviving the ferrochrome industry, protecting jobs in the steel and automotive sectors and closing loopholes in the tariff system.
“These commitments must be backed by real funding. Fedusa expects targeted industrial support for vulnerable sectors such as clothing, textiles and footwear.”
Fedusa said youth unemployment remained a structural emergency.
“Public employment programmes must be adequately funded and designed as pathways into permanent work.”
It said electricity tariff increases and food prices were eroding household income.
“The budget must provide targeted relief for low-income households and protect social grants against inflation erosion. However, social protection cannot replace job creation. The central economic objective must remain the expansion of decent work opportunities.”
Fedusa said it also expected strengthened support for the South African Revenue Service to combat illicit financial flows, under-invoicing and tax evasion.
“Workers must not shoulder the tax burden while revenue leakages continue. Where additional revenue is required, progressive measures such as windfall or wealth taxes must be considered before any regressive increases that hurt working families.”
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