Striking Sars employees return to work

Striking employees of the South African Revenue Service (Sars) have returned to work after both unions – the National Education, Health and Allied Workers Union (Nehawu) and the Public Service Association (PSA) – suspended their industrial action, the revenue collector said in a statement on Friday.

According to Sars, the PSA was the first to call off the strike in July, while Nehawu only recently suspended industrial action on Monday 8 August.

The labour action suspension means that Sars operations and trade facilitation employees have returned to their posts, with operations back to normal.

Although employees have returned to work, the parties have not yet reached an agreement meaning that unions and Sars will have to return tp the negotiating table.

“The suspension of the industrial action affords all parties the opportunity to work towards progressing the negotiations and related discussions towards settling the dispute,” said Sars in its statement.

“In this regard, a follow-up discussion as well as the national bargaining process will be scheduled soon to continue the engagements.”

Disruption to tax season

Unions resumed protest action in early July following a breakdown in negotiations with the revenue collector, disrupting tax season.

Wage negotiations between Sars and the labour unions reached a deadlock before because Sars refused to meet wage demands of a 12% increase. Instead, the revenue collector has tabled a 1.3% increase, which was later revised upwards to 1.5%.

Additionally, unions were demanding 10 working days a year of pandemic leave as well as better housing and medical aid allowances, among others.

Tax season officially kicked off in July and caused disruptions to operations with Sars admitting in late July that the industrial action had resulted in service delays.

Despite the disruptions, Sars said taxpayers were still expected to meet filling season deadlines and make payment by the end of August. Non-provisional taxpayers are expected to file their annual returns by 24 October.

Read: Despite strike, taxpayers must still meet tax season deadlines – Sars