eskomBusiness Report writes that Eskom said on Monday that it was going ahead with plans to flatten its top structure and merge certain divisions in its quest to enhance operational and cost efficiencies.  

The troubled state-owned power utility confirmed that it had given Section 189 (i.e. retrenchment) notices to the F-Band employees that comprise mostly of the utility's top management.  The new structure would merge the roles of group executive distribution and group executive customer service to increase accountability.  The changes would also see the heads of IT and procurement being demoted to E-Band general managers.  Heads of strategy, risk and sustainability, security, audit and forensics and corporate affairs would moreover form a single unit.  Eskom has put the number of its top executives at about 400, saying most were involved in the build programme of Kusile and Medupi power stations.  Energy analyst Chris Yelland said the shuffling of the organogram and reduction of executives would not save Eskom and that the utility needed to be unbundled to address financial, operational and environmental performances or its bottom line.


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