JOHANNESBURG – Eskom says its mandate on retrenchments is limited to its executive management.
The power utility has announced it will be laying off 21 executive managers and remain with eight to reduce its wage bill.
Eskom is in deep financial trouble and its costs have grown higher than its sales revenue.
It says an official announcement will be made soon on its decisions to further reduce costs.
Spokesperson Khulu Phasiwe says the board has made the decision that its other layers of staff are not included in job cuts.
“Eskom is in very deep financial trouble. This company, for the last 10 years or so, has not been growing its sales revenue, meaning that it has not been selling as much electricity as it should or could.”
Phasiwe says some of the executives at the company have chosen to resign.
“The plan ultimately is to reduce the number to about eight.”
At the same time, the power utility says load shedding in recent months was due to poor plant performance and not the coal shortage of which it says has been partially addressed.