NEHAWU Signs Wage Agreement With NSFAS Ending a Seven Months Empasse
Wednesday November 05, 2025
The National Education, Health and Allied Workers’ Union [NEHAWU] has ended a seven months long wage impasse at National Students Financial Aid Scheme [NSFAS] after both parties reached an agreement on the 04th November 2025 leading to a signing ceremony on the 05th November 2025 following a strike action in the month of October 2025.
This round of negotiations were not easy, as parties were close to finding each other on issues related to decentralization of offices to Pretoria, job evaluations, housing allowance, insourcing of contractors, long service awards, and salary progression were sticking points which led to a prolonged mediation process.
The agreement reached with NSFAS is as follows:
- Salary adjustment of 7% across the board for all employees within NSFAS Bargaining Unit (i.e. Level 3 – 12) effective from 01 April 2025;
- Housing Allowance to be increased by 83.3% which amounts to an increase of R1 000 in rand value. This shall mean an increase from R1200 to R2200, with R1793 of this effective from 01 April 2025 whilst R227 shall be effective from 01 April 2026;
- Once off Long service awards as follows:
- 5 years of continuous service: R5 000
- 10 years of continuous service: R10 000
- 15 years of continuous service: R15 000
- 20 years of continuous service: R20 000
- 25 years of continuous service: R25 000
- 30 years of continuous service: R30 000
Parties further agreed that these matters must be deferred for further engagements in both National Bargaining Forum, and National Consultative Forum:
- Staff dependent bursary (progress update on policy);
- Early retirement (progress update on policy);
- Hybrid working policy (progress update on policy);
- Threshold for Recognition of new unions;
- Decentralisation (new consultation to ensure workers are not worse off by any movement if it is agreed on); and
- Implementation date for Job Evaluation outcomes upon concurrence being granted.
NEHAWU as a red fighting militant union appreciates the loyalty, and patience of our members during these protracted negotiations. As NEHAWU, we will continue without flinching in championing the interests of our members and workers at all materials.
We equally want to recognise the DHET team, NSFAS Board, and the NSFAS management for finally appreciating that improvement of conditions of service of workers is a top priority if NSFAS has to meet its obligations. This realisation has led to us agreeing on resetting our relationship with NSFAS management, which we can confirm that it is moving towards the right direction ensuring an environment of sound labour relations at the workplace.
Issued by NEHAWU Western Cape Secretariat
For more information, please contact: Cde Baxolise Mali (NEHAWU Western Cape Provincial Secretary) at 066 3050 591 or Baxolise@nehawu.org.za Or
Cde Zukisani Mabhengu (Western Cape Provincial Deputy Secretary) at 0636851924 or email: Zukisani@nehawu.org.za
Visit https://www.nehawu.org.za
More Statements