Cosatu’s social compact can work if it is not backward looking on Eskom
A broad-ranging effort to ensure the country’s energy future has to extend beyond just saving Eskom
In a recent wide-ranging document on economic policy, Cosatu argues compellingly that workers will bear the brunt of the consequences of a collapse of Eskom and that decisive interventions are needed to save both jobs and the SA economy.
The union federation proposes that there should be a social compact between the government, labour and industry to stabilise Eskom, on condition that Eskom is not privatised and that no Eskom worker will be retrenched. Cosatu further argues for a deal to reduce Eskom’s debt through a special purpose vehicle (SPV) involving workers’ pensions, government, business and development finance institutions. ..