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Statement on PIC to Eskom - 5 February 2018

The statement by the PIC on Monday, 5 February 2018, that it would be granting a loan of R 5bn to ESKOM has come as a surprise to NAPTOSA in view of an undertaking given to public service unions that pension funds of public servants would not be used to bail out state owned enterprises, unless improved governance can be demonstrated.
NAPTOSA is, however, painfully aware that a collapse of ESKOM could seriously harm, if not ruin, the economy of South Africa, ultimately compromising the jobs of public servants. This, coupled with the fact that the loan is underwritten by state guarantees and that the changes at ESKOM (in the Board and management of the enterprise) has generally been welcomed, leads NAPTOSA to believe that the decision by the PIC, in this instance, is in the best interest of our country and the long term future of public servants.

NAPTOSA, will continue monitoring the activities and decisions of the PIC and will not hesitate to become involved in action against the Corporation should it appear that the pension funds of public servants are compromised.
Members of NAPTOSA are once again urged not to take any rash decisions about their pensions because of this latest event.




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NAPTOSA INsight Volume 12  Issue 1, April 2018 is now available for viewing: Go there


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