R550m grant controversy fuels resistance to iGoli 2002

A major clash between organised labour and the City of Johannesburg has brought the city’s ambitious iGoli 2002 restructuring plan to a temporary standstill. The South African Municipal Workers’ Union (Samwu) led a coordinated protest that compelled the council to suspend the rollout of the programme pending urgent negotiations.

This comes after union leaders and municipal workers staged a 24-hour sit-in at city offices, demanding clarity and consultation over the controversial changes. Talks are now set to resume within the bargaining council framework, as workers push for a voice in how Johannesburg’s services are reshaped.

According to the Gauteng department of local government, “The agreement is that the continued implementation of iGoli 2002 is immediately suspended pending negotiations by the parties within the bargaining council on service delivery options to be engaged.”

Department spokesperson Mavi Panyane confirmed that all restructuring would now be guided by the Municipal Systems Bill and the Municipal Structures Act, which outline proper procedures for local government reforms.

“The MEC has assured workers that no transformation will proceed without compliance with the legal frameworks already agreed upon,” Panyane said.

However, tensions escalated further when Samwu criticised Finance Minister Trevor Manuel for allegedly tying a R550 million funding grant to the continued implementation of iGoli 2002.

“The massive grant dished out by Manuel makes a mockery of the promise of a moratorium on the implementation of iGoli 2002,” Samwu said in a statement. The union also took aim at City Manager Ketso Gordhan, accusing him of forcing the plan through under pressure from national government.

“The unilateral actions of Ketso Gordhan, who is hellbent on implementing the iGoli 2002 plan, are clearly being driven by central government policies,” the union stated.

Only after receiving written assurances from the city did union leaders agree to end their occupation of Gordhan’s and Transformation Legotla chair Kenny Fihla’s offices. The sit-in was supported by 70 leaders from Samwu, the Independent Municipal Association of Trade Unions (IMATU), the South African Communist Party (SACP), and Nehawu shop stewards.

The protest ended at 7:30am after the council gave in to union demands, underscoring the growing divide between city administrators and organised labour over how Johannesburg’s future is being shaped.

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Sourced:IOL