Eskom executives rake in R11 million in bonuses
17 March 2015
In a reply to a DA parliamentary question Minister of Public Enterprises, Lynne Brown, confirmed that Eskom's top ten officials received almost R11 million in bonuses in 2014. This was over and above their salaries of R32,7 million.
I have written to the Chairperson of the Portfolio Committee on Public Enterprises, Dipuo Letsatsi-Duba requesting that she summon Minister Brown to appear before the Committee to explain why the executives received incentive bonuses even as they were presiding over the collapse of the company.
I will also be submitting follow up parliamentary questions to ascertain the following:
What is the criterion used to determine the awarding of incentive bonuses as some of those awarded with bonuses are now on suspension,
Are the bonuses performance related or are they discretionary,
What is the total value of remuneration, including short term bonuses, for all executive directors for the same period, and
Did the Minister, as sole shareholder representative of Eskom, approve the incentive bonuses?
The DA has previously called for Eskom executives to pay pack the estimated R63 million they have been rewarded with since load shedding began in 2008. We see no reason why this call is not applicable in this circumstance.
If the Minister is at all serious about resolving the current crisis and holding those tasked with it accountable, she must put an immediate freeze on executive bonuses at Eskom, until the company is stable once again. Anything short of this sends the message that failure at Eskom is acceptable.
It is unacceptable that while our country has to live with daily load shedding, the sheer incompetence of those tasked to lead and manage Eskom out of a debilitating crisis is being extravagantly rewarded.
The billions we could have saved in running public enterprises efficiently would have been more than enough for us to keep the lights on.
South African's cannot accept that while the rest of us are impacted by poor delivery a few people become very rich while costing our country billions.
Statement issued by Natasha Mazzone MP, DA Shadow Minister of Public Enterprises, March 17 2015
Table extracted from parliamentary reply:
2014 No Short Term Bonuses awarded for the 2014 financial year.
|
Executive Member |
Designation |
Basic Salary |
Incentives |
Note |
|
BA Dames (ex officio) |
CE |
7,931,000.00 |
1,928,000.00 |
Included in salaries is an amount of R1.9million relating to back pay in increases from 2010. |
|
TBL Molefe (ex officio) |
FD |
2,622,000.00 |
508,000.00 |
Appointed FD in January 2014. |
|
PS O'Flaherty (ex officio) |
FD |
1,088,000.00 |
1,513,000.00 |
Resigned in July 2013. |
|
BE Bulunga |
Exco member |
2,537,000.00 |
722,000.00 |
Resigned in April 2013 |
|
T Govender |
Exco member |
2,809,000.00 |
1,043,000.00 |
|
|
EL Johnson |
Exco member |
3,610,000.00 |
1,195,000.00 |
|
|
SJ Lennon |
Exco member |
2,711,000.00 |
772,000.00 |
|
|
DL Marokane |
Exco member |
3,416,000.00 |
1,245,000.00 |
|
|
A Noah |
Exco member |
2,790,000.00 |
923,000.00 |
|
|
MM Ntsokolo |
Exco member |
3,198,000.00 |
910,000.00 |
|
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