Telkom\u2019s current retrenchment policy, using race as a criteria, is illegal, according to laboour lawyers.<\/p>\n
The Business Times noted that \u201crace\u201d has been listed as a selection criterion for retrenchments, something Telkom has rejected. Or has it?<\/p>\n
\u201cThe fact is that Telkom\u2019s focus is on retaining the right skills for its turnaround strategy and will consider several criteria throughout its restructuring process,\u201d Telkom said in a statement earlier this week.<\/p>\n
Employment equity is one of the four criteria applied to the restructuring, Telkom said, adding that just like any South African company it is required to comply with the Employment Equity Act.<\/p>\n
Telkom aims to reduce its management pool which will affect up to 2,650 managerial staff. The company is looking to reduce the number of management layers and achieve an employee cost-to-revenue ratio of 25% over the next 5 years, from 30% currently.<\/p>\n
The Business Times said it received internal documents showing that race will be a key factor in the retrenchment process.<\/p>\n
A retrenchment notice sent to staff \u2014 officially called a section 189 letter \u2014 lists \u201cemployment equity\u201d as one of the criteria. A further confidential \u201cleadership consultation\u201d document, said demographics, race and gender will be used to decide who stays, the Times reported.<\/p>\n
Law firm, Bowman Gilfillan, told the paper that any company that included discriminatory grounds such as race, gender and sexual orientation as selection criteria for retrenchment could faces charges of unfair dismissals.<\/p>\n
\u201cIt contravenes the Employment Equity Act and the Labour Relations Act. I hope the courts give them a good hiding,\u201d said Michael Bagraim, a labour lawyer.<\/p>\n
Trade union Solidarity has, this past week, filed papers with the Labour Court.<\/p>\n
Telkom has already started retrenching in management, while the retrenchment process has already begun, with staff being asked to \u201creapply\u201d for positions that will be made available, using race as a criteria, the Times said.<\/p>\n
Telkom has earmarked March 2015 for completion, however, the Times said that \u201cphase 2\u201d, is due to kick-start in March 2016.<\/p>\n
Retrenchments not just about race: Telkom<\/strong><\/a><\/p>\n Racekom: If you\u2019re white at Telkom, you\u2019re guilty<\/strong><\/a><\/p>\n