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South African public sector workers suspended a pay strike on Monday as it entered its fourth week, union officials said. The strike by 1.3 million workers has affected education, healthcare and the judiciary. Strikers have demanded a double inflation 8.6 percent pay rise and a 1,000 rand ($135) a month housing allowance.
"Labour has decided to suspend the strike and this does not mean we have accepted the state offer," 19 unions representing the state workers said in a joint statement.
The unions said they had 21 days to finalise discussions with their members on a draft agreement.
President Jacob Zuma's government raised its offer to 7.5 percent and 800 rand for the housing allowance last week but workers rejected the deal and unions asked for more time to explain the offer to their members. Government officials said the state could not afford the offer they had already put on the table and there was no more room in the budget to increase the offer, which would swell state spending by about 1 percent.

Copyright Reuters, 2010

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