Free Trial

Govt Rejects Union Pressure on 2018 Wage Deal; Eskom Probes CEO De Ruyter

SOUTH AFRICA

LOCAL NEWS

  • Govt rejects continued pressure from unions regarding the R37bn 2018 wage agreement, which unions have tried to escalate to the Constitutional court after failing at a Labour court level. Govt says this is simply too late now as there is no room in the budget
    • Comes as Unions press for an utterly unaffordable CPI + 4% 2021 wage deal, which is detached from the reality of the country's fiscal situation – underscoring the difficulty of trimming the wage bill
  • Eskom launches independent internal investigation into CEO De Ruyter after SCOPA said it was seeking legal advice on how to structure its own probe on the matter.
    • Allegations include claims of nepotism and irregularity in terms of cutting contracts to suppliers along racial lines
  • Experts highlight difficulties in private companies accessing vaccines, given manufacturers' commitments to only deliver to governments.
    • Medical aids have been given permission by the state to assist in the rollout, but have been stopped by manufacturers, possibly creating a bottleneck for SA
  • Govt pledges to tackle serious mining application backlog of 5,326 applications for mining & prospecting rights, permits, renewals and concessions or sale of rights – inhibiting the exploration and construction process.
    • Govt is currently finalising a turnaround strategy for Mpumalanga and will report back within 3-months and considering the possibility of publicising granted rights – highlighting the lack of transparency
MNI London Bureau | +44 020-3983-7894 | murray.nichol@marketnews.com
MNI London Bureau | +44 020-3983-7894 | murray.nichol@marketnews.com

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.