State-owned power utility Eskom has reached a three-year wage agreement with trade unions the National Union of Mineworkers (NUM), the National Union of Metalworkers of South Africa (Numsa) and Solidarity.
In terms of the agreement, Eskom’s bargaining unit permanent employees will receive salary adjustments of 7.5% for 2018/19, effective July; 7% for 2019/20; and 7% for 2020/21.
Additionally, there will be an adjustment in terms of yearly cost of living to employees’ housing allowance, as well as a one-off cash payment of R10 000 after tax to be paid within the next few days.
NUM commented that the last negotiation round had been the most difficult in the union’s history, owing to Eskom initially tabling a 0% wage increase offer at the start of negotiations.
“We hope that industrial relations between the parties can improve and bring stability that is necessary,” the union said.
Moreover, the parties agreed that the review of the current short-term incentive scheme will be referred for further engagement at the Central Consultative Forum negotiations.