Energy26.05.2023

Eskom unions reject 5.25% salary increase

Eskom has assured that its three recognized trade unions have committed to a fourth round of wage negotiations in June after they couldn’t reach an agreement this week.

Last year, Eskom workers went on an unprotected strike, with union leaders disavowing all involvement in the labour action.

Yet when Eskom agreed to return to the bargaining table, the unions were able to call off the strike.

The strike was devastating for the state-owned power utility and the country.

South Africa was plunged into stage 6 load-shedding, and Eskom has still not recovered from the lost maintenance time and breakdowns the strike caused.

With South Africa now regularly experiencing stage 6 load-shedding, there are concerns about what would happen should Eskom employees go on another strike.

In a statement issued on Friday, Eskom announced that negotiations had stalled but that it had agreed with unions on an additional round of talks.

“Eskom and its three recognized trade unions, National Union of Mineworkers (NUM), National Union of Metalworkers of South Africa (NUMSA), and Solidarity concluded the third round of salary negotiations yesterday [25 May 2023],” it stated.

“The negotiations have progressed relatively well with some significant movements made since the beginning of the wage talks last month.”

NUM and NUMSA opened the negotiations with a request for a 15% salary increase, while Solidarity requested 10.1%, Eskom said.

Eskom responded with a 3.75% offer, which was later increased to 4.5%.

The first and second rounds of talks took place on 19–21 April and 8–10 May 2023.

“During this round of negotiations which began on 23 May 2023, NUM and NUMSA revised their demands to 11% and 12% respectively, whilst Solidarity revised its demand to 9.5%,” said Eskom.

“On Wednesday, 24 May 2023, Eskom revised its offer and made a final offer of 5.25%.”

All three trade unions rejected Eskom’s final offer.

“However, all parties reached a settlement on the amendment of the Grievance and Disciplinary Procedures,” Eskom said.

“As a custom, the negotiations take place over three sessions of three-days each, however this year all parties agreed to hold a fourth round of negotiations on 13 and 14 June 2023 with the view that there are prospects of reaching a settlement at the Central Bargaining Forum,” it continued.

“Eskom is hopeful that it and the labour unions will find each other for the benefit of the company and in the best interest of the country.”


Now read: Joburg announces load-shedding schedule overhaul — with businesses excluded from power cuts

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