In Conversation With Khangela Baloyi NUM Energy Sector Coordinator
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The Congress of South African Trade Unions (COSATU) has welcomed the recent multi-year wage agreement between Eskom and organised labour, describing it as a balanced outcome that protects workers while supporting the long-term stability of the power utility.
The agreement, signed by the National Union of Mineworkers (NUM) and Solidarity, secures a 7% annual salary increase over three years for Eskom employees, effective from 1 July 2026. Together, the two unions represent the majority of workers within Eskom’s Central Bargaining Forum, making the agreement binding across the workforce—even as the National Union of Metalworkers of South Africa (NUMSA) has rejected the deal and declared a dispute.
COSATU has framed the agreement as a demonstration of responsible trade unionism, highlighting NUM’s decision to prioritise both improved wages and operational stability at Eskom. This comes after years of wage negotiations at the utility being associated with disruptions, which have historically contributed to operational instability and, at times, exacerbated energy supply challenges.
Eskom remains a critical pillar of South Africa’s economy, with its performance directly affecting economic growth, industrial productivity, and household stability. While recent improvements in load shedding have been noted, the utility continues to face structural challenges, including financial pressures, infrastructure maintenance, and ongoing debates around its unbundling into separate entities.
The agreement therefore sits at the intersection of labour rights, economic stability, and energy security. It also raises important questions about unity within the labour movement, given NUMSA’s rejection of the deal, and whether dissent within unions could still translate into industrial action.
As South Africa continues to navigate its energy transition and economic recovery, this wage agreement highlights the delicate balance between fair worker compensation and the sustainability of key state institutions.
The agreement, signed by the National Union of Mineworkers (NUM) and Solidarity, secures a 7% annual salary increase over three years for Eskom employees, effective from 1 July 2026. Together, the two unions represent the majority of workers within Eskom’s Central Bargaining Forum, making the agreement binding across the workforce—even as the National Union of Metalworkers of South Africa (NUMSA) has rejected the deal and declared a dispute.
COSATU has framed the agreement as a demonstration of responsible trade unionism, highlighting NUM’s decision to prioritise both improved wages and operational stability at Eskom. This comes after years of wage negotiations at the utility being associated with disruptions, which have historically contributed to operational instability and, at times, exacerbated energy supply challenges.
Eskom remains a critical pillar of South Africa’s economy, with its performance directly affecting economic growth, industrial productivity, and household stability. While recent improvements in load shedding have been noted, the utility continues to face structural challenges, including financial pressures, infrastructure maintenance, and ongoing debates around its unbundling into separate entities.
The agreement therefore sits at the intersection of labour rights, economic stability, and energy security. It also raises important questions about unity within the labour movement, given NUMSA’s rejection of the deal, and whether dissent within unions could still translate into industrial action.
As South Africa continues to navigate its energy transition and economic recovery, this wage agreement highlights the delicate balance between fair worker compensation and the sustainability of key state institutions.
