EFF STATEMENT ON COSATU’S RESPONSE TO PENSION FUND REFORM
14 January 2016
The Economic Freedom Fighters (EFF) notes the signed tax legislations from 2015 into law by Mr. Zuma that have implication on number of sectors including estate duty, insurance companies and pension reforms. The EFF further notes Congress of South African Trade Unions (COSATU) tantrums, pretending to be the voice of workers. Cosatu’s opportunism is disgraceful and a clear indication that the current Federation’s leadership, is not only backward-looking but is also out of touch with reality concerning worker’s hardships on the ground.
The ANC, with the Cosatu’s support, have steamrolled legislations in Parliament and supported government policies that have achieved nothing but protect white monopoly capital against worker’s interest. The South African Communist Party (SACP) is in Parliament and Cabinet, and never said anything about the legislation that was steamrolled in parliament.
What is worse is that, the Chairperson of the Standing Committee on Finance that was responsible for steamrolling the signed tax legislation, is SACP politburo member Yunis Carrim who hunts with the hounds and now pretends to be running with the hares. Despite overwhelming plea by various stakeholders for further engagement on the Tax Administration Bills, in particular aspects concerning pension fund reform, the ANC together with its alliance preceded to push the legislation through the Parliament using its majority.
The EFF was the only political party in Parliament that opposed the pension fund reforms, both in the first and second reading debate. Parliament records will show that, the EFF warned that the legislation would have dreadful and far-reaching consequences, and the way ANC together with its alliance treated this piece of legislation was never in the interest of workers. Notwithstanding that many people with formal employment do not earn enough to contribute towards retirement, but those who contribute towards pension are highly indebted and majority cannot afford food, housing or education for their children. What the new legislation will do is nothing but subject workers to a retirement of permanent poverty and payments of debts.