Rand Goes Down as 1.3 Million Government Workers Go to Strike

The South African rand fell today after a week of gains versus the US dollar as the nation’s economy may deteriorate after as much as 1.3 million government workers will go to strike to demand the higher wages.

About 1.3 million public-sector workers expected to go to the streets for the strike today, including 800,000 members of the Public Sector Association and around 89 percent from 245,000 members of the South African Democratic Teachers Union’s. The trade unions demand the 8.6 percent wages increases and the monthly housing allowances of 1,000 rand, while the government offered the 7 percent pay increase and the housing allowances of 630 rand.

USD/ZAR jumped today from 7.184 to 7.265 as of 13:08 GMT.

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