1.2 Million SA Civil Servants Drag Government To Court


Reports have it that 1.2 million SA civil servants have filed a lawsuit against the government for its Employees Pension Fund .

BuzzSouthAfrica gathered that Solidarity filled the case at the High Court in order to take action against Government Employees Pension Fund (GEPF). The union among other things, is demanding that the change made to the formula by which SA civil servants’ pension benefit is calculated be reviewed.

According to the union, GEPF “unlawfully, and without consultation amended the formula for actuarial interest at the time of resignation of civil servants.”

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Speaking, Solidarity’s Deputy Chief Executive Johan Kruger related that the civil servants about to resign and those who have already resigned after the the unilateral amendment of the formula took effect have lost benefits worth thousands of rand.

If the civil servants triumph, Kruger said, GEPF will be held responsible for the changes made to the formula in which officials’ actuarial interest at the time of resignation are calculated.

He pointed out that the changes implemented are unfavorable and function to the detriment of SA civil servants on resignation .

“The GEPF application Solidarity is bringing before the court is a major lawsuit and is probably the first of its kind. We contend that a proper consultation process, as required under the rules of the fund, has not been followed, and therefore Solidarity’s lawsuit against the GEPF would be to the benefit of all civil servants,” Kruger state.

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He also, disclosed that “Solidarity will demand that persons who have resigned since the unilateral amendment be compensated as if the previous formula still applied and…interest be payable on this amount.”

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