The Congress of South African Trade Unions (COSATU) strongly condemns Treasury’s tone-deaf decision to increase Members of Cabinet and Provincial Executive Committees’ car purchase limits from R800 000 to R1.1 million. 

This is an unbelievable affront to the working class and society who have been told by the very same Treasury time and again to tighten their belts.  It is beyond shocking that this reckless decision comes from the same Treasury which has cried poverty, attempted to increase VAT and refused to adjust tax brackets for low- and middle-income workers for inflation for two years. 

Most galling is the fact that Treasury gushes sympathy for politicians wanting to travel in comfort but has only once adjusted the tiny R370 SRD Grant for inflation since its introduction in 2020.  This callous decision by Treasury highlights a budget priority and morality crisis afflicting the state, where R4 billion is allocated to provide bodyguards for politicians but only R3 billion can be found for Small Business Development. 

COSATU calls upon President Cyril Ramaphosa to intervene and reverse this ill-considered decision by Treasury.  Government cannot continue to impose brutal austerity budget cuts crippling frontline public services and yet find millions to indulge the appetites of out of touch public representatives. 

The Federation calls upon government to end the charade of politicians splashing scarce public funds upon unnecessary luxury vehicles by allocating this responsibility to the Government Garage.  This must include uniform and modest specifications for all such vehicles and that they must be locally manufactured. 

Government has serious matters to attend to and should not be spending time on such frivolous issues.  The working class and society whose taxes fund the state, expect better from the leaders they elect and entrust to manage public funds.  This rash act by Treasury must be immediately cancelled.  Politicians would be well advised to remember that local government elections are months away and voters are not impressed by such shenanigans.

Issued by COSATU

Matthew Parks (COSATU Parliamentary Coordinator)

Mobile: 082 785 0687

Email: matthew@cosatu.org.za