The Independent Communications Authority of South Africa (Icasa) and the Communication Workers Union (CWU) have agreed to an 8% salary increase for all employees falling under the bargaining unit.

This follows industrial action last week by Icasa employees seeking an 11% increase, a R1 500 housing allowance, a performance management system bonus, shutdown leave between Christmas and New Year’s Day, a moratorium on retrenchments and cellphone allowance.

It was agreed by both parties that the cellphone and housing allowances would remain as they were. However, Icasa and CWU were expected to discuss, within 30 days, the performance management system bonus and shutdown leave demands.

Icasa said last week that the increases would cost the authority R7.4-million for the 5% initially offered in December 2011, and a further R8.6-million for the additional 3%, exceeding its current budget allocation for salaries by R1.3-million.