South Africa: Eskom Workers To Get 7 Percent Pay Rise

South Africa’s power utility, Eskom, has announced a 7 percent salary increase for all employees, effective 1 July 2026, under a three-year agreement following the conclusion of the 2026 wage negotiation cycle within the Central Bargaining Forum (CBF).

This follows the signing of a collective wage agreement by the National Union of Mineworkers (NUM) and Solidarity.

The signatory unions represent more than seventy-five percent (75%) of employees in the Central Bargaining Forum. The agreement is binding on all employees within the bargaining unit, including those affiliated with the National Union of Metalworkers of South Africa (NUMSA).

By maintaining a three-year framework, Eskom and organised labour have established a more predictable environment, reducing the volatility associated with annual bargaining cycles.

“The conclusion of the wage process represents an important procedural milestone. It provides Eskom with the stability and predictability required to focus fully on delivering our business objectives and fulfilling our mandate to South Africa. We recognise that our people are central to driving sustainable growth and building an organisation that is resilient and attractive to future partners and investors,” said Eskom Group Chief Executive, Dan Marokane.

“The work of transforming Eskom requires continued collaboration across the organisation. We value the contribution of labour partners to the bargaining forum and will continue to engage them on operational priorities, employee wellbeing, and the strategic evolution of the business. The conclusion of the wage agreement reflects a shared commitment to organisational stability, constructive labour relations, and the long-term sustainability of Eskom’s operations and the national power system,” Marokane added.

“Most importantly, this agreement allows our people to remain focused on execution, accountability, and consistent delivery, while also enabling us to attract future talent to the organisation. The agreement reinforces Eskom’s disciplined approach to cost management and operational efficiency. This is underpinned by Eskom’s ongoing implementation of the Cost Optimisation and Revenue Enhancement (CORE) programme, which targets R112 billion in cost savings over five years,” said Eskom’s Chief People Officer, Dr Candice Hartley.

Eskom said it remains committed to maintaining a constructive partnership with organised labour as a key driver of operational excellence and business sustainability.

This collaborative approach ensures the utility remains focused on its primary mandate: the safe and reliable operation of the national power system for the benefit of all South Africans.