Numsa rejects Eskom’s revised wage offer

It’s back to the negotiating table for Eskom after three unions rejected its revised wage offer of 4.5%.

The embattled power utility is locked into wage negotiations with Solidarity, the National Union of Mineworkers (NUM) and the National Union of Metalworkers of South Africa (Numsa).

As winter sets in, the embers of social unrest maybe aggravated by stage 8 load shedding.

Increases

All unions are demanding double-digit wage increases from cash-strapped Eskom for the 2023/2024 financial year.

The power utility has been locked in talks with unions at the Centralised Bargaining Forum since Tuesday.

Eskom had presented a proposal for a uniform 4.5% salary hike, which marks a departure from their original offer of a 3.75% raise.

Not good enough

Numsa spokesperson Phakamile Hlubi-Majola said the increase proposed by Eskom is not good enough.

“We have rejected the wage proposal made by Eskom management. What they have basically proposed is a 0,75% increase and this is not even based on CPI. Eskom is not taking into account the impact of the cost of living on ordinary workers of Eskom. Our members at the CBF have been denied proper increases, whilst their benefits and conditions were slashed.”

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Demands

Hlubi-Majola confirmed the union had revised its wage demand down to 12%

She said the union is also demanding a two-year wage agreement, correcting the income differentials: six months full pay maternity leave and 14 days paternity leave, 80% medical aid contribution from the employer and 20% contribution from workers.

“Numa also wants no closure of power stations and a housing allowance increase of R1 100.”

Hlubi-Majola said the talks will continue until the 25th of May.

Eskom debt

Eskom’s current debt stands at R423 billion, and government has committed to provide the parastatal with debt relief of R254 billion over three years.

This arrangement includes providing Eskom with advances of R78 billion in 2023/24, R66 billion in 2024/25 and R40 billion in 2025/26.

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