South Africa: Govt proposes salary caps
The South African Government – the ANC – are proposing a cap on salaries and bonuses for managers earning more than R550 000/year ($78 000) and those earning R20 000 per month! The slide to communism and socialism is gathering speed; nationalising the mines, curbing free press, regulating free enterprise…Religion will be next so that the “elite” will appear to be the be all and end all of saviours. Another African success story brought to you in just 16 short years of ANC rule. If this proposal is accepted then expect to see more skilled people fleeing the country – leaving behind the mediocre and those unfortunate enough not to be in a position to leave due to circumstances. Wonder how many international businesses will be willing to open shop in the country or invest in the country? Hmmm….
Cape Town – The government tabled its new growth path in Parliament on Tuesday, part of which proposes a cap on salaries and bonuses for senior managers and executives earning more than R550 000 a year.
The document, unveiled by Economic Development Minister Ebrahim Patel, also suggests a cap on increases for all those earning more than R20 000 a month.
It proposes “moderate wage settlements” for those earning between R3 000 and R20 000 a month, “possibly to inflation plus a modest real increase”, with “inflation-level increases for those earning over R20 000 a month”.
Patel said the document also called for a broad pact between business, labour and government.
Such a pact would include commitments on wages, prices, savings and jobs.
There was a proposal, for discussion with business and labour, for moderate wage settlements linked to clear commitments by business to save jobs, create new jobs and address inequality, he said.