JOHANNESBURG, July 21 – South Africa’s main fuel sector union and employees at state power utility Eskom said on Thursday they had rejected employers’ latest wage offers, raising tensions in strikes threatening Africa’s largest economy.
Fuel sector employers offered an 8 percent rise, three percent above inflation, but the Chemical, Energy, Paper, Printing, Wood and Allied Workers’ Union wants 13 percent.
Employers are willing to pay the above-inflation wage increases to secure labour peace, while shedding jobs over the past several years in order to save on costs. And the ruling African National Congress party, is loathe to put pressure on workers, fearing it would antagonise its long-standing union allies who have supplied it with millions of votes.
Source: Reuters Africa newsletter
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