KEY POINTS
- Two unions (NUM and Solidarity) accepted Eskom’s 7% wage increase over three years.
- NUMSA rejected the offer, demanding 8% in the first year and declaring a deadlock.
- The dispute comes as Eskom shows operational and financial improvement after years of challenges.
Two major South African labour unions, the National Union of Mineworkers (NUM) and Solidarity, have accepted the 7% wage increase proposed by power utility Eskom.
Union leaders confirmed that their members approved the deal, which covers a three-year period starting from July 2026. Solidarity’s leadership stated that the agreement would be formally signed following the acceptance mandate from its members.
In contrast, the National Union of Metalworkers of South Africa (NUMSA) has rejected the offer, insisting on a higher wage increase.
NUMSA is demanding an 8% raise in the first year and has declared a deadlock in negotiations.
The union warned that the dispute could escalate to arbitration and be accompanied by industrial actions, including demonstrations.
Prolonged Negotiations Reach Critical Stage
Wage negotiations between Eskom and the three unions began last year and have gone through multiple rounds without full consensus.
Eskom described the talks as being at a “critical stage” and reaffirmed its commitment to continued engagement with labour representatives despite the division among unions.
The wage dispute comes at a time when Eskom has shown signs of recovery.
The utility, long burdened by financial challenges and persistent power outages, has recently improved operations at its coal-fired power stations, helping to stabilise electricity supply and boost projections for better financial performance.