{"id":45400,"date":"2013-09-05T14:23:51","date_gmt":"2013-09-05T12:23:51","guid":{"rendered":"http:\/\/businesstech.co.za\/news\/?p=45400"},"modified":"2013-09-06T09:10:15","modified_gmt":"2013-09-06T07:10:15","slug":"union-collars-telkom-over-executive-pay","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/telecommunications\/45400\/union-collars-telkom-over-executive-pay\/","title":{"rendered":"Union collars Telkom over executive pay"},"content":{"rendered":"

Trade union Solidarity<\/a> has called for renewed wage talks with telecommunications giant Telkom<\/a>, the union said on Thursday (5 September).<\/p>\n

The request for another round of negotiations came after claims that Telkom gave its top management “exorbitant salary increases”, spokesman Marius Croucamp<\/a> said in a statement.<\/p>\n

On Thursday, 29 August 2013, Telkom published its annual report, revealing the company\u2019s executive remuneration for the year ended 31 march 2013.<\/p>\n

BusinessTech noted that former\u00a0Telkom Group<\/a>\u00a0CEO,\u00a0Pinky Moholi<\/a>\u00a0earned a cool R11.6 million in the last financial year.<\/p>\n

Her pay comprised a salary of R6.4 million, plus a short-term incentive of R2.6 million and other benefits of R2.5 million.<\/p>\n

Controversial former MD of Telkom International, Motlatsi Nzeku however, was the highest paid at the company, having resigned with an \u201cearly retirement\u201d settlement of R13 million on top of his R660,621 salary.<\/p>\n

Nzeku was sacked by Telkom and publicly slated for poor performance in 2009, but was successfully reinstated as MD of Telkom International after private arbitration. Nzeku \u201cretired\u201d from the company in June 2012.<\/p>\n

Telkom Mobile<\/a>\u00a0head,\u00a0Attila Vitai<\/a>, was paid a total of R8.47 million for the year, including a sign-on bonus of R5.5 million. Vitai joined the company in November 2012.<\/p>\n

Telkom chief financial officer,\u00a0Jacques Schindehutte<\/a>\u00a0was paid R8.4 million, including a base salary of R4.9 million, incentives of R2.2 million and benefits of R1.2 million.<\/p>\n

\"Telkom<\/a>

Telkom Executive pay<\/p><\/div>\n

“Top management received exorbitant salary increases, while many employees, according to Telkom’s final wage offer, will basically get no increase. [We] maintain the situation has led to a breach of trust between top management and ordinary employees,”\u00a0Croucamp said.<\/p>\n

According to the union, Telkom drew up a final wage offer linked to a “differentiation model” that involved a three-year contract.<\/p>\n

“[The model] is aimed at rectifying historic salary imbalances… certain employees will receive an increase above six percent, while others will get virtually no increase, which comes down to a wage freeze,” Croucamp said.<\/p>\n

“As a result of the agreement certain employees will, in real terms, get a wage decrease over the next three years, as they will stay on the same salary level during that period.”<\/p>\n

Telkom initially offered a 1.5% salary increase, which was revised at a later stage.
\nSolidarity also alleged that the final agreement was implemented despite it declaring a dispute.<\/p>\n

Telkom was not available to comment on the claims.<\/p>\n

\"Telkom<\/a>

Telkom Executive pay<\/p><\/div>\n

(with Sapa)<\/p>\n

More on Telkom and Solidarity<\/h3>\n

Telkom executive pay shock<\/strong><\/a><\/p>\n

Telkom and unions kiss and make up<\/a><\/strong><\/p>\n

Telkom wage drama continues<\/a><\/strong><\/p>\n

Telkom\u2019s unionised employees<\/a><\/strong><\/p>\n

Telkom wage talks update<\/strong><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Trade union Solidarity has called for renewed wage talks with telecommunications giant Telkom, the union said on Thursday.<\/p>\n","protected":false},"author":10,"featured_media":17843,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[21],"tags":[5083,26,1079,1077,1632,65,1075],"class_list":["post-45400","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-telecommunications","tag-attila-vitai","tag-headline","tag-jacques-schindehutte","tag-pinky-moholi","tag-solidarity","tag-telkom","tag-telkom-mobile"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/45400","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/10"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=45400"}],"version-history":[{"count":6,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/45400\/revisions"}],"predecessor-version":[{"id":45421,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/45400\/revisions\/45421"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/17843"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=45400"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=45400"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=45400"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}