SOUTH AFRICA: ESKOM REACHES AGREEMENT WITH UNIONS

Eskom has reached a two-year wage agreement with its trade unions, which effectively brings an end to this week's illegal strike action.

"We are pleased to announce that [we have] reached a two-year wage agreement with recognised trade unions, ending this week's illegal strike action by members of the National Union of Mineworkers (NUM)," the utility said on Friday.

The wage agreement was reached at talks facilitated by the Commission for Conciliation, Mediation and Arbitration (CCMA), which intervened in the matter in terms of section 150 of the Labour Relations Act.

In terms of the two-year agreement, signed by the NUM and Solidarity, Eskom employees will get a wage increase of between 8.5% and 10% this year and next year.

The housing allowance will also be increased by R260 per month this year, and a further R140 per month next year - bringing the total housing allowance to R3 000 per month over the next two years.

"The National Union of Metalworkers of South Africa (Numsa) is still considering the offer and we are hopeful that they too will sign soon. The conclusion of this necessary chapter in our business environment enables us to now firmly focus on the task at hand of ensuring that we keep the lights on to enable growth," said the power utility.

Earlier this week, the power utility obtained a court interdict as workers affiliated to NUM downed tools over wages.

"We obtained the interdict last night and it essentially prohibits unions from going on strike," Eskom spokesperson Khulu Phasiwe said at the time.

On Thursday, Eskom said its power stations and operations had not been adversely affected by the strike action.

Wage negotiations with the unions commenced in May 2016.

Source: NAM NEWS NETWORK

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