Ailing power utility, Eskom wants to pay workers R1.8\u2009billion in performance bonuses, according to a report in the City Press, citing court papers filed by the National Energy Regulator of SA.<\/p>\n
Eskom resumed power cuts late on Saturday after a conveyor belt failure at its Medupi plant – just days before Andre de Ruyter officially takes over as chief executive.<\/p>\n
De Ruyter is tasked<\/span> with turning around the debt-laden power utility, which has been described by Goldman Sachs <\/span>as the biggest threat to South Africa\u2019s economy, Bloomberg reported.<\/p>\n The power utility\u2019s debt has ballooned to R450 billion, while the group is overstaffed, and under skilled to deal with the power crisis at it’s failing power stations.<\/p>\n Despite these problems, Eskom wants to reward its workforce for a job well done with R1.8 billion in performance bonuses between 2019 and 2022.<\/p>\n In August, Rapport noted that Eskom\u2019s senior managers demanded a pay hike.<\/p>\n According to the newspaper, senior managers took Eskom to the Council for for Conciliation, Mediation and Arbitration (CCMA) because they received no salary increases.<\/p>\n There are approximately 200 managers in this group, who earn between R1.5 million and R3 million a year. They are seeking a 4.7% increase, in line with inflation, the paper reported.<\/p>\n Eskom\u2019s estimated 6,500 middle managers are also reportedly unhappy with the 7.5% increase given to lower-tier workers, and want to be put into the same bargaining unit as those workers.<\/p>\n They earn between R700,000 and R2 million, according to Rapport.<\/p>\n Eskom is about 66% overstaffed, according to analysts and energy experts, which places a massive financial burden on the company which is already struggling to pay the bills.<\/p>\n Eskom\u2019s top executives took a pay cut in 2019<\/a> on the back of the group\u2019s dismal financial performance \u2013 but still walked away with multi-million rand salaries, and several golden handshakes.<\/p>\n
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