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‘We are not considering bailing out Eskom with your pension funds’ – says GEPF
The pension fund agency says the video circulating stating that it intends to bail out Eskom is old and entirely false.
GEPF says this video is from 2020 and that they are not considering using civil servants’ pension funds to help bail out Eskom. Image: Screenshot from X/@jvnaidoo1
The Government Employees Pension Fund (GEPF) is reiterating that it will not be bailing out Eskom with funds and that a video circulating on social media that suggests that it will, is actually four years old and false.
The video, which depicts Cape Town mayor Geordin Hill-Lewis relating that GEPF intends to bail out Eskom to the tune of R250 billion, is actually from as far back at early 2020.
In the clip, Hill-Lewis starts by saying that the ANC led by Cosatu is proposing to take 7% of civil servants’ retirement savings to bail out Eskom.
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R250 billion
“They say upfront that you should not expect any financial return upfront from this R250 billion bailout and they are doing this without ever asking your permission.
“If the ANC will be allowed to do this, then this is the first of many such bail-outs that you will be forced to pay for,” he says.
The video is said to be made before Hill-Lewis took up the role of Mayor.
Civil servants on social media have since been up in arms over the clip. But the GEPF has since responded and stated that it would be providing “some clarification regarding this matter for the benefit of GEPF members and pensioners”.
Investment strategy
The agency said: “The GEPF is guided by clear and transparent processes in line with the GEP Law and its investment strategy when undertaking investments on behalf of the Fund.
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“Proposals have to be formally presented to the GEPF Board of Trustees, who then consider whether the proposed Investments would ensure the sustainability of the Fund and provide reasonable financial returns for the GEPF.
“In this regard, no proposal has been presented to the GEPF by any institution with regards to bailing out Eskom.
“This is, therefore, not a matter that is under consideration by the GEPF and its Board of Trustees.”
The GEPF emphasised that if such a proposal were to arise, the GEPF Board of Trustees would carefully consider it in accordance with its responsibilities and obligations to ensure the long-term viability of the Fund, and subsequently make the most suitable decision.
