HomeIndustry SectorsBusiness and marketsEskom offers voluntary separation packages to senior employees

Eskom offers voluntary separation packages to senior employees

Eskom has commenced offering voluntary separation packages (VSP) targeted at senior employees.

The power utility stated the VSP process will be implemented during March and April 2020. “There will be no forced retrenchments.”

The VSP excludes workers at the lower levels (non-managerial).

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Eskom said it will ensure that no critical skills will be lost as a result of the programme, and management will take every precaution to ensure that the VSP process caters to the best interests of the company.

Eskom revealed that through this process, it will spend R400 million in order to cut overhead costs.

“This will be recouped through savings within a year. The purpose of the separation process is to rationalise management layers, which will lead to an efficiently run company,” said Eskom.

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Eskom has what it needs in-house

In January, while on a walkabout at the Duvha Power Station, Eskom CEO, André de Ruyter said he has no plans to bring in management consults to map a new course for the utility.

Eskom has what it needs in-house, said de Ruyter. These are skilled, committed people who provide a solid foundation.

“People believe in solutions that they were partners in creating, and I think that is a very important element of any turnaround process, that you want that engagement from your team members, that they truly believe that this is the art of the possible.”

Employee numbers “will start to trend downwards”. Load shedding will hopefully come with unquantified “adequate notice”.

Babalwa Bungane
Babalwa Bungane is the content producer for ESI Africa - Clarion Events Africa. Babalwa has been writing for the publication for over five years. She also contributes to sister publications; Smart Energy International and Power Engineering International. Babalwa is a social media enthusiast.