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The Federation of Unions of South Africa (FEDUSA) is deeply shocked and concerned by the exclusion of public servants from planned partial withdrawal from retirement savings. This follows National Treasury announcement on Thursday that only workers registered under the Pension Funds Act will be allowed to make partial withdrawals when relevant legislative amendment have been concluded. This announcement automatically excludes public servants whose retirement savings are governed by the Government Employees Fund Act or GEPF Act. 

Public servants like nurses and doctors have not only been negatively affected by the COVID-19 like any worker but have been at the forefront of the national response to the pandemic. Thousands of health workers continue to put their lives on the line to protect the nation against the virus. Many of their colleagues have succumbed to the disease in the line of duty. It is therefore very insensitive of the state to even contemplate excluding them from any relief measures such as the planned retirement savings withdrawals.

Public servants’ pensions are always eyed as a pot of gold when bailouts are required and now the very same contributors are being shown that hand.

FEDUSA calls on the new Minister of Finance to urgently initiate the legislative process to amend the GEPF Act. This will allow public servants to make partial withdrawals to mitigate economic hardships. This could be done either through the Public Service Coordinating Bargaining Chamber or NEDLAC. 

Issued by FEDUSA