COSATU on Eskom

The Congress of South African Trade Unions, the country’s biggest labour federation, has said it won’t reach a pact with business on how to resolve the debt crisis at South Africa’s power utility Eskom by the time President Cyril Ramaphosa gives his state-of-the-nation speech on Thursday. Cosatu has proposed using the state pension fund manager, the Public Investment Corporation (PIC), and government-owned development finance institutions to cut Eskom’s debt by a considerable amount. Cosatu’s proposal has prompted opposition from unions in rival federations and opposition parties, who say the PIC won’t get adequate returns by investing further in Eskom. The PIC manages money for the Government Employees Pension Fund, which is a defined benefit fund, meaning that if it can’t pay out pensions, the government must pay the shortfall.Joining us on the line to help us with this discussion is: • Sizwe Pamla, is COSATU spokesperson • Reuben Maleka, Acting Deputy General Manager of Public Servants Association • Gerhard van Onselen is a senior policy analyst/ economic researcher at Sakeliga