You are currently viewing our desktop site, do you want to download our app instead?
Moneyweb Android App Moneyweb iOS App Moneyweb Mobile Web App

NEW SENS search and JSE share prices

More about the app

Eskom’s two biggest labour unions demand 15% wage increases

South Africa’s consumer inflation rate is currently 2.9%.
Image: Bloomberg

The two biggest unions representing workers at Eskom are seeking 15% wage increases, adding to the woes confronting the loss-making South African power utility.

The National Union of Metalworkers of South Africa and the National Union of Mineworkers tabled their demands at a preparatory meeting on Friday and pay talks will resume on May 4, Eskom spokesman Sikonathi Mantshantsha said by phone. Solidarity, a smaller union, wants 9.5% increases for its members, it said by text message.

South Africa’s consumer inflation rate is currently 2.9%.

Eskom is struggling to meet electricity demand due to breakdowns at its old and poorly maintained plants and isn’t generating enough cash to fund its operations and service its R464 billion ($33 billion) of debt. The utility bowed to pressure from labour in 2018 wage negotiations after strikes that crippled the grid, agreeing to a one-time cash payment and annual increases of at least 7%.

The latest pay demands are reasonable and affordable, with many of Eskom’s problems “manufactured” by a management that is failing to do its job, William Mabapa, the NUM’s acting general secretary said by phone.

Numsa said that it wasn’t immediately able to comment.

© 2021 Bloomberg

COMMENTS   8

Sort by:
  • Oldest first
  • Newest first
  • Top voted

You must be signed in to comment.

SIGN IN SIGN UP

The Unions will bankrupt South Africa.

We desperately need a Margaret Thatcher moment.

16% is too little, demand a 1000% and then go home for good

Surely you don’t expect SA believe that CPI is 2.9%!

You outstanding team of innovative, committed and productive workers can have your increase when:
1. The power stays on 24/7,
2. All the crooks who stole from Eskom are in jail,
3. AT least 50% of the workforce is fired-the vast majority are simply unable to do their job(lack the skills) and many are simply too indolent.

If not, silence, and go do what you have done for years-mediocre effort-zero delivery.

For 25 years this company has been a free-for-all. Accounts of hundreds of employees sitting around doing Zip … well, you encouraged this and enabled it to take control … and now it has. In the process, it holds the entire country to ransom. Congrats Eskom!

Frankstein created his monster and now can’t control it? Shocked

I suspected that once Eskam got 16% tariff increase, the unions would “climb in” and demand at least 15% plus extra benefits. The sad thing is that the ANC will capitulate to the unions’ demands as the former is afraid of the union(s).
So this time next year Eskam will again need another 15% tariff increase on the grounds of an ever rising wage bill.
We really need to close this ANC cadre employment agency down!!!

End of comments.

LATEST CURRENCIES  

USD / ZAR
GBP / ZAR
EUR / ZAR
BTC / USD

Podcasts

INSIDER SUBSCRIPTIONS APP VIDEOS RADIO / LISTEN LIVE SHOP OFFERS WEBINARS NEWSLETTERS TRENDING PORTFOLIO TOOL CPD HUB

Follow us:

Search Articles: Advanced Search
Click a Company: