ActionSA leader slams DA's legal approach to R10 billion municipal wage agreement
ActionSA president Herman Mashaba has taken aim at DA federal chairperson Helen Zille following the party's failed court bid to overturn a R10 billion wage agreement in the City of Johannesburg, accusing her of misunderstanding the complexities of governing the economic hub and risking billions in taxpayer funds through reckless legal posturing.
In an open letter addressed directly to Zille, Mashaba acknowledged that both parties view the politically facilitated agreement (PFA) — a wage deal struck between the municipality and trade unions — as financially unsustainable for a city already struggling to meet its basic service delivery obligations. He also concurred that the ANC appears to be leveraging the agreement to shore up worker support ahead of elections.
However, Mashaba drew a sharp distinction between ActionSA's position and the DA's legal strategy, arguing that while the deal may be unaffordable, the DA's court papers sought to nullify the city's entire legal obligation rather than addressing the question of affordability. The court ultimately dismissed the application, noting that the DA had not challenged the PFA when it was concluded in 2024 but chose to do so during an election campaign.
"It is highly appropriate that I offer you basic education about the City of Johannesburg at this time, as we have potholes in this city that have been around for longer than you."
Tshwane precedent serves as costly warning
Mashaba pointed to the DA's track record in the City of Tshwane as a cautionary tale, where successive DA mayors refused to honour collective wage agreements with municipal workers. He noted that the party had labelled workers as criminals and adopted a confrontational stance, only for the Labour Court to eventually rule against the city and order payment of R2 billion owed to employees — a sum that nearly drove Tshwane into bankruptcy.
The PFA itself stems from a settlement mediated through the KVBA in 2016, following prolonged labour disputes and industrial action. It forms part of a legally binding collective agreement framework under the Labour Relations Act. Mashaba argued that the liability has accumulated over years due to the city's failure to implement the original agreement, and that simply pretending the obligation does not exist is not a viable solution.
"The more than 30 000 municipal workers in Johannesburg were not tools for the ANC or the DA to use for political gain, but rather allies in promoting a more stable and efficient service delivery reality for our residents."
Mashaba contrasted the DA's approach with what he described as his own successful management of labour relations during his tenure as Johannesburg mayor. He cautioned against importing a Cape Town governance model into Johannesburg, emphasising that the two cities have fundamentally different cultures and require distinct approaches to labour engagement. Rather than adopting what he termed a paternalistic stance, Mashaba advocated for bringing unions to the negotiating table to address the city's legal commitments within the context of its financial constraints and service delivery priorities.
He cited ActionSA's Tshwane mayor, Dr Nasiphi Moya, as an example of how the party had managed to resolve the DA's inherited labour disputes and steer the metro away from financial collapse. Mashaba concluded by questioning whether Zille possessed the necessary understanding to govern a city as multifaceted as Johannesburg, suggesting that her perspective was out of step with the realities facing its residents.
"Feel free to call me if I can help you further to understand Johannesburg better."
South Africa's largest metro faces a R10 billion wage liability that could strain municipal finances and directly affect service delivery for millions of Johannesburg residents, from pothole repairs to basic utilities. Businesses operating in the city may encounter further infrastructure decline if funds are diverted to settle accumulated labour obligations. How political parties navigate collective bargaining and honour legally binding agreements will likely shape municipal stability and investor confidence in the months ahead.
