Catherwood LibraryILR School

Around 1.3 million South African state workers went on strike on Wednesday. The largest labor federation, COSATU said that around 90% of unionized state workers are on strike. The strike is over wages and housing allowances. The government's last offer was 7% wage increase and 700 rand a month for housing. Workers are asking for an 8.6% pay increase and a 1000 rand a month housing allowance. Analysts say that the strike has not yet affected the economy, but that a prolonged strike will. There is pressure on both the strikers and the government to settle the dispute, as the public deals with closed schools and skeleton staffs at hospitals and police stations. Government officials say that they cannot afford the workers' demands, and if they did acquiesce they would have to cut other services. Auto workers are also on strike and have joined the state workers in their action.