Times LIVE 13 February 2020

Eskom has offered certain mangers voluntary cash separation packages (VSPs) in a bid to implement its turnaround strategy.  

That’s according to a leaked internal communiqué dated February 6, by Elsie Pule, group executive for human resources.

“As part of the Eskom turnaround plan, in 2019, the Eskom Board granted approval for implementation of voluntary cash separation packages (VSPs) for non-core employees over two years. Approval was further granted, subject to availability of funds to implement the above separations,” reads the letter.

Eskom spokesperson Sikonathi Mantshantsha, when approached to comment on the authenticity of the letter, said: “I have no comment on that matter.”

According to the document, the executive committee recommended that R400m be set aside to implement limited separations. 

The move affects managers in “non-core” positions. It also affects managerial employees aged 60 to 62, irrespective of whether they are in core, critical or non-core positions.

“The Eskom Board supported the proposed voluntary separation package benefits implementation process and plan with costs capped at R400m. This window of VSPs will be open for managerial level employees in non-core positions. 

“This process is voluntary and no employee should be coerced or requested to apply. Approval for separations will be at Eskom’s discretion and based on approved guiding principles that will be communicated in due course,” read the communiqué.

It said all the divisions would be allocated funds based on the proportion of eligible employees. 

“In summary, the approved separation benefits will be based on two weeks’ remuneration per completed year of service and a gratuity payment of R75,000. The window for applications will open in the third week of February 2020, with employee exits planned for end of April 2020 [except for those taking early retirement]. 

“As part of the lessons learned from the VSP rollout in 2015, we are exploring a centralised application technology platform and decision making process. Further details will be communicated to you early next week. In the interim, all group executives are kindly requested to review and sign off the list of non-core roles/positions. The Snr HR Business Partners are fully on-board to facilitate this process,” read the statement.

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