Thursday, June 17, 2010
From Creamer Media in Johannesburg, I'm Amy Witherden.
Making headlines:
The board of State-owned power utility Eskom has appointed Brian Dames as CEO of the company, starting July 1.
An Eskom veteran of more than 20-years standing, Dames was always the favoured internal candidate to get the job, which was controversially left vacant by Jacob Maroga in November last year.
Ahead of the appointment, Dames managed to earn some support from two of the group's key trade unions, the National Union of Mineworkers (NUM) and Solidarity. However, he will take up the post in the midst of difficult wage negotiations with these same groups, which could result in industrial action. The NUM has applied for a certificate of nonresolution from the Commission for Conciliation, Mediation and Arbitration, which could pave the way for a strike at Eskom. Solidarity, meanwhile, has also declared a dispute, and has raised concerns about the million of rands set aside for executive bonuses at a time when Eskom is digging in its heels over salaries and housing allowances. Unions are demanding an 18% wage hike and a housing allowance, while Eskom is reportedly offering a 7% increase.

The United Nations Education, Science and Culture Organisation (Unesco) is delaying the award of a prize for life sciences, which includes a medal, a diploma and $300 000, named after the leader of Equatorial Guinea, whose government is widely accused of corruption and human rights abuses.
A coalition of human rights and civil society groups have said that Unesco is enabling Equatorial Guinean President Teodoro Obiang Nguema to improve his international reputation by funding the $3-million prize instead of using the money to improve the living standards of his people.
Unesco director-general Irina Bokova says that no new date had been set for the awarding of the prize. But the Equatorial Guinea government says that critics of the prize are misguided. "Although the Unesco controversy has highlighted the fact that Equatorial Guinea faces many challenges, the situation is being viewed through an outdated understanding of what our government is and what Equatorial Guinea is like," the government said in a press release.

While tourists visiting South Africa for the 2010 FIFA World Cup are concerned about the country's high crime rate, they should probably be as worried about its labour unions, which have threatened to cut power, freeze transport, abandon security posts and tie up immigration at airports during the 2010 FIFA World Cup, if their demands for better wages and working conditions are not met.
Few analysts expect the groups, led by the Congress of South African Trade Unions (Cosatu) to carry out their threats or for the government to allow a stoppage in critical work that would bring the 2010 FIFA World Cup to a halt. But the unrest, coming at a time that is supposed to be a display of national unity, has stoked fears among investors about labour actions hurting balance sheets, and served as reminder of the difficulty of doing business in Africa's largest economy because of its costly and inflexible job market.
Global intelligence firm Stratfor senior analyst Mark Schroeder says that it is an embarrassment for the South African government for not being able to fulfil its promises to FIFA to guarantee a strike-free tournament. While independent South Africa political analyst Nic Borain says that Cosatu and its member unions are doing what comes naturally and that is using every advantage for the best possible deal for themselves and their members.

Also making headlines:

About 500 ex-rebels in the Côte d'Ivoire give up their guns but warn that future disarmament will depend on promised government financial support.
United Nations peacekeepers start leaving the Democratic Republic of Congo as part of a small but symbolic troop reduction before the fiftieth anniversary of the country's independence on June 30.
Zambia plays down fears of a looming health crisis after the Global Fund for HIV/Aids, Malaria and Tuberculosis suspends more than $300-million in health assistance to the country, citing corruption.
And, Zimbabwean President Robert Mugabe and Prime Minister Morgan Tsvangirai launch a campaign to solicit public views on a proposed new Constitution, a long-delayed step toward a new general election.

That's a roundup of news making headlines today.