Eskom concludes three‑year wage agreement following Central Bargaining Forum process

Friday, 17 April 2026: Eskom is pleased to announce the formal 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 the 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 predictable environment that reduces the volatility associated with annual bargaining cycles. The agreement continues Eskom’s established practice of multi‑year collective bargaining arrangements, supporting cost predictability and operational stability, which has also contributed to the delivery of Eskom’s successful turnaround strategy.

Key elements of the agreement:

• A 7% annual salary increase for all employees within the bargaining unit.
• The agreement is effective for a three‑year period, starting from 1 July 2026, providing labour certainty over the medium term.

The established multi‑year framework secures the labour stability and skills necessary to maintain and reinforce Eskom’s recent gains in overall system performance.

“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 to building an organisation that is resilient and attractive to future partners and investors,” said Eskom’s Group Chief Executive, Dan Marokane.

“Most importantly, this agreement allows our people to remain focused on execution, accountability and consistent delivery, as well as 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 is targeting R112 billion in cost savings over five years,” said Eskom’s Chief People Officer, Dr Candice Hartley.

The CORE programme focuses on structurally reducing costs and strengthening financial discipline across the business through improved governance, operational efficiency, procurement optimisation and improved utilisation of assets and resources. The certainty provided by a multi‑year wage agreement supports improved cost predictability and planning within this framework.

Eskom remains dedicated to maintaining a constructive partnership with organised labour as a fundamental 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.

The agreement concludes a structured and intensive collective bargaining process. While negotiations were robust, Eskom acknowledges that NUMSA has declared a deadlock and opted not to sign the current agreement.

The wage process has been concluded in line with applicable Central Bargaining Forum processes and labour legislation. Eskom remains committed to structured and ongoing engagement with all three of its recognised trade unions on all other matters of mutual importance.

“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,” concluded Marokane.

ENDS