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2 July, 2007
South Africa's state-run electricity utility, Eskom, is doing all the political manoeuvring to can to ward off a strike by 24,000 unionised workers.
The workers, members of three unions, including ICEM affiliates National Union of Mineworkers (NUM) and the National Union of Metalworker of South Africa (NUMSA), were prepared to lower their wage demands in bargaining on 27 June, but Eskom arrived at talks with no will to improve its earlier offer.
Over 100 unionists then gathered at Eskom headquarters in the Sandton area of Johanessburg to protest. They were met by police and private security guards, who fired tear gas canisters to disperse the lawful protestors.
The utility has taken the unusual step of challenging the jurisdiction of the Commission for Conciliation, Mediation, and Arbitration (CCMA) over a minimum services agreement. In mid-June, a dispute was filed with the CCMA, hoping to get the agency to rule on which groups of Eskom workers were considered essential employees, and which were not.
That would determine which groups could strike. But Eskom short-circuited the process by taking the unprecedented legal position that CCMA had no jurisdiction in the matter. In 2005, the unions sought a new minimum services agreement with the company, but Eskom unilaterally renewed its "maximum services agreement," meaning all workers were denied the right to strike. (The company did this unilaterally, without engaging in social dialogue with the workers' representatives.)
A prior labour agreement expired on 30 June. Until the CCMA jurisdictional matter is resolved, workers will continue their protests, including a 24-hour strike beginning on Wednesday night, 4 July.
For the 27 June negotiations, workers had given their unions a mandate to move off their 12% wage demands. But Eskom arrived at talks with no desire to even negotiate.
A previous company wage offer totalled only 6%. Electricity workers are seeking a wage increase that gives them a safe cushion against South Africa’s inflation rate, which now is 2% higher than April's consumer price index of 6.3%, excluding mortgage costs increases.
The unions are also seeking housing allowances and improved pension benefits. On housing, they seek a R 1,500 allowance, with Eskom offering only R 450.
NUM represents 11,000 of the 24,000 workers engaged in this year's contentious bargaining, while NUMSA represents 6,000.