Eskom's employee costs jump from R38,000 to R913,000
Eskom's average cost per employee has increased dramatically over the past three decades, rising from R38,000 in 1990 to R913,000 in 2024. This exponential increase has contributed significantly to the growing strain on electricity pricing in South Africa.
According to Business Tech , the cost per employee, which grew by almost 1,000%, has a significant impact on the price of electricity. The price of electricity has increased by 190% since 2014. Eskom is reportedly producing less electricity than before, despite its rising operational costs.
Business Tech reported that a 2014 World Bank report showed that Eskom had the largest workforce among sub-Saharan African countries. Eskom has around 41,787 employees. It said that only 14,244 employees were needed, meaning Eskom was 66% overstaffed.
The World Bank calculated a ratio of one worker for every 413 electricity users. In 2023, Eskom employees received a 7% increase. ESKOM: GRID STABILITY REMAINS INTACT
Eskom has reassured South Africans that the national power grid remains stable despite rising winter electricity demand. Between 1 April and 8 May, Eskom's Unplanned Capacity Loss Factor (UCLF) declined to 27.99%, marking a 1.2% improvement from the same timeframe in the previous year.
The utility also reported an increase in planned maintenance, which now accounts for 6,904MW, or 14.76% of total generation capacity. Eskom explained that the power system is supported by sufficient emergency reserves, which are strategically used to manage high winter peak periods.
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