National energy utility Eskom has refuted a claim that it had applied to the National Energy Regulator of South Africa (NERSA) for R1.8 billion to pay ‘performance bonuses’, but acknowledges applying for the provision of a 13th cheque.
The annual bonus ‘forms part of the Eskom basic conditions of service and cost to company – i.e. employees’ normal remuneration package’, the utility.
The claim that performances bonuses were being sought was made in a newspaper report at the weekend, and reflected in a Daily Friend report yesterday.
Eskom said its application ‘for the three year period did not include any allocation for performance bonuses. The application included a provision for an annual bonus for the three year period, which is equivalent to a 13th cheque …’
‘For those employees for whom a 13th cheque is not part of their conditions of service (i.e. non-union employees) an option is given to structure their package to provide for a 13th cheque without increasing their overall compensation. In keeping with a board decision reflecting the poor performance of the business, no performance bonuses have been paid to employees in the past two years.’