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BusinessLive reports that cash-strapped Eskom on Tuesday offered its employees an inflation-targeted 4.7% wage increase for 2018 and inflation-based increases for the three years thereafter.
Eskom initially offered workers no wage hike, which resulted in labour unrest at the state-owned power utility. The National Union of Mineworkers, the National Union of Metalworkers of SA (Numsa) and Solidarity said they would take the revised offer to their members for a mandate. They indicated that other demands such as housing allowance increases and payment of performance bonuses would remain unchanged. They added that they viewed the 4.7% proposal as an “opening offer”, suggesting they expected it to be increased. Apparently the unions, which until now had demanded 9% and 15% hikes, will now be forming a united front to table uniform demands. While sources in the unions said an ideal increase would be 10%, they were likely to settle with a two-year wage offer giving workers 9% this year and 8% in 2019. The four-year agreement proposed by Eskom was also bound to be shot down, the sources said. Eskom is facing serious financial difficulties.
- Read this report by Theto Mahlakoana in full at BusinessLive
Get other news reports at the SA Labour News home page