Telkom CEO wants retrenchments ‘done as quickly as possible’

Telkom CEO Sipho Maseko wants to “press on” with the company’s transformation process “and get this done as quickly as possible”.

The telco announced earlier in June that it plans to cut 4,400 jobs through voluntary severance packages or voluntary early retirement packages.

It added that 3,400 employees will be transferred to outsourced companies.

In an internal note to staff this week, Maseko reiterated that the company had conducted a number of meetings with representatives of organised labour – on the 9th, 10th, 15th, 18th and 19th of June, 2015.

“It was our hope that there would be a meeting of minds on the proposals we’ve made to transition Telkom to a more sustainable future. These proposals included potential options to alleviate the expected staff impact within the Wholesale and Networks business, as well as the Centre for Learning environment.”

“Unfortunately, there was no alignment on the way-forward with organised labour, a situation which led to them declaring a dispute with Telkom on 19 June,” Maseko said.

He said that Telkom had therefore served Section 189 notices (in terms of section 189 of the Labour Relations Act of 1995) on all unions to commence a process of consultations with organised labour regarding possible retrenchments which may result from the implementation of it’s turnaround strategy.

Maseko also rejected union claims that race will be a key selection criteria.

“Let me say upfront that we reject Solidarity’s selective use of the facts. In the Section 189 notices served on organised labour we proposed two selection criteria. These are (1) LIFO (Last In, First Out), subject to the retention of scarce and critical skills; and (2) employment equity considerations, where applicable,” the chief executive said.

“Skills and qualifications are about people, not race, and we therefore have no intention of using use race as a selection criteria.”

Maseko highlighted the importance and urgency of Telkom 2.0 – the group’s turnaround strategy. “If Telkom is to survive and secure a sustainable future, we have to press on and get this done as quickly as possible.”

“This does not mean we will be reckless or unsympathetic. On the contrary, my team and I fully understand how difficult a time this is.

“In conclusion I want to say that much remains to be done. Going forward, we must focus on making our new operating model work so that we can become commercially sustainable and realise our ambition of connecting our fellow South Africans,” Maseko told staff.

More on Telkom

Whites not targeted: Telkom

Whites will go in Telkom retrenchments: union

Zuma unfazed by Telkom retrenchments: union

Telkom sending workers to their “economic death”

Telkom creates a website to update staff on retrenchments

Must Read

Partner Content

Show comments

Trending Now

Follow Us

Telkom CEO wants retrenchments ‘done as quickly as possible’