Eskom calls union wage demands unaffordable in tense negotiation

Eskom Holdings said the South African state utility is unable to agree to certain union demands over wage increases and declined to make an offer on basic salary until labor groups respond. The loss-making electricity provider “cannot afford” proposals such as an improvement in pay inequality, according to a May 4 letter reviewed by Bloomberg. A request by unions to raise worker housing allowance has “no justification” and the required funds aren’t available in any case, the company said.