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Nedlac partners sign social compact to support Eskom

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Following protracted and tough negotiations between government, business, labour, and civil society, a social compact has been signed by all parties to support Eskom.
The social partners have committed themselves to work together to find innovative ways to reduce Eskom’s massive R340 billion.
The signing ceremony took place at the annual Nedlac Summit in Sandton earlier on Tuesday. Deputy President David Mabuza gave the keynote address at this year’s event. He has praised the signing.

A gathering aimed to reflect on the role of the National Economic Development Labour Council (Nedlac). In its 25-years of existence, Nedlac had succeeded in bringing government, business, labour and civil society under one roof, but the Forum still remains largely divided on ideologies.

There’s been progress, but a lot could be achieved. In the face of the country’s worsening socio-economic challenges, the partners are failing to agree on the economic recovery plan that is needed urgently. Civil society has accused other partners of excluding communities in some of their discussions.

Mabuza has also raised concerns about the exclusion of civil society at the Forum. Lack of trust among different partners is among many reasons widening the divisions.

Mabuza says the high debt and liquidity problems facing Eskom warrants extraordinary intervention.  He says the government is fully behind the management of Eskom. The compact sets out steps that government, business and labour should commit to in supporting the struggling Eskom.

Mabuza explains, “Compromise and trade-offs are central and not the pursuit of a zero-sum game where no one comes out a winner communication is a key tool to employ to get buy-in from communities. Hence, part of the Eskom social compact is about the revival of the campaign to encourage people to pay for basic municipal services.”

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