eskomBL Premium reports that the two biggest unions representing workers at Eskom said on Thursday that if the power utility could spend billions of rand on contracts for coal and renewable energy independent power producers (REIPPs), then it could afford the 15% wage increase workers were demanding.

In a joint media briefing, the National Union of Mineworkers (NUM) and the National Union of Metalworkers of SA (Numsa) said REIPPs and coal contracts, not wages, were the biggest cost drivers at Eskom. The utility, which is buckling under a R480bn debt pile, issued a statement on Wednesday saying its 1.5% wage increase offer was final. The offer is conditional on unions agreeing to a proposed downward variation of worker benefits including overtime pay, travel allowances, and employee transfer costs. The NUM, Numsa and Solidarity have all rejected Eskom’s proposals. The NUM and Numsa leaders said their members’ demands for a 15% wage increase — Solidarity is demanding 9% — were justified. Numsa general secretary Irvin Jim commented: “For now, we are [still] negotiating. We are going to explore all avenues. If it comes to push, we might take legal action ... workers won’t perpetually fold their hands.” He indicated that the union would now mobilise workers to protest and demonstrate in support of their demands, adding that: “At some point, we won’t be in control of what workers do in those demonstrations and protests. Very soon, we think the country will be running into a crisis if there is no movement [from Eskom] to make a meaningful offer.” The wage talks adjourned on Thursday and will resume on 31 May.


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