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Unions decline Eskom’s 1.5% wage increase offer, want 3.2% inflation rate added in before even considering it

Details

eskomBL Premium reports that unions have rejected Eskom’s wage increase offer of 1.5%, saying the proposal will only be considered if it is in addition to the 3.2% inflation rate.

The state-owned power utility and the National Union of Mineworkers (NUM), the National Union of Metalworkers of SA (Numsa) and Solidarity met at the bargaining forum on Monday for a second round of wage negotiations, which will end on Thursday. An Eskom spokesperson indicated: “Eskom has today [Monday] tabled a 1.5% wage increase offer at the bargaining forum, conditional on the labour representatives accepting amendments to some of the conditions of service. These changes include: transfer benefits, overtime payment rates and travel time. Wage talks are ongoing.” Numsa’s Vuyo Bikitsha said: “We indicated to Eskom management and the negotiators that the 1.5% is an offer to talk to if it’s in addition to the CPI [consumer price index]. If it’s from a zero base we reject it, that’s what we said.” Bikitsha added that they would not entertain management’s proposals to change conditions of employment. Solidarity’s Helgard Cronje indicated: “We have also rejected the offer because the 1.5% is conditional. They are saying it’s only on the table if employees agree to a downward variation of conditions of employment. So this means employees will be funding the 1.5% increase through downward variation.” A NUM spokesman advised that they also rejected the Eskom offer, saying: “This offer is below inflation. Any wage offer below inflation is not different from a zero percent increase.” Numsa and NUM are demanding a one-year, 15% wage increase, and Solidarity a 9% wage increase.

  • Read the full original of the report in the above regard by Luyolo Mkentane at BusinessLive (paywall access only)
  • Read too, Eskom puts 1.5% wage increase to unions, at News24


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