The biggest labour group at South Africa\u2019s Eskom accused the power utility of disregarding rules around wage negotiations by implementing its final offer to workers.<\/p>\n
Eskom will implement a 1.5% basic wage increase from July 1, funded through savings realized from reviewing employee benefits, according to the company.<\/p>\n
The utility declared a dispute with unions earlier this month and the deadlock is now being considered by the country\u2019s Commission for Conciliation, Mediation and Arbitration, for which it hasn\u2019t reached a conclusion.<\/p>\n
\u201cEskom is acting unlawfully by implementing before all the processes are exhausted,\u201d said Khangela Baloyi, energy sector coordinator for the National Union of Mineworkers.<\/p>\n
\u201cThe only recourse we have is compulsory interest arbitration. Eskom is taking that away.\u201d<\/p>\n
Once the CCMA makes it findings they will be binding on all parties, Eskom spokesman Sikonathi Mantshantsha said in a reply to questions. \u201cAny party dissatisfied with the process can take the matter on review at the Labor Court.\u201d<\/p>\n
The loss-making utility that has subjected the country to intermittent outages for more than a decade, partly because of poor maintenance at its plants, is struggling under a debt pile of R401 billion.<\/p>\n
It considered wage increases of as much as 15% demanded by labour at the start of the negotiations as unaffordable.<\/p>\n