Solidarity in wage dispute with Telkom

Solidarity on Friday declared a wage dispute with telecommunications company Telkom

By - June 24, 2011
telkom

Solidarity on Friday declared a wage dispute with telecommunications company Telkom, the trade union’s spokesman said.

“Telkom indicated during today’s [Friday] round that it will impose a two year moratorium on retrenchments, provided that trade unions will accept a wage increase of only 4.5 percent,” said Marius Croucamp in a statement.

This “amounts to extortion, since employees now have to choose between job security and a liveable salary”.

Solidarity declared the dispute after three rounds of wage negotiations.

Telkom was not immediately available to comment.

Croucamp said there was “room in Telkom’s salary budget since the company did away with 1877 employees at the beginning of the year by means of voluntary severance packages”.

This had saved 9.2 percent of Telkom’s salary budget, and left room for a wage increase of between eight to ten percent, he said.

The company should also compensate those employees left for their scarce skills.

“Almost nine percent of Telkom’s total labour force accepted voluntary severance packages. Of the 1877 employees who took voluntary severance packages, 1650 already vacated their positions in March. The rest left at the end of April,” Croucamp said.

“Shortly after, Telkom realised that it has now come up against a substantial skills shortage and several of those who already vacated their positions, were lured back with temporary contracts to transfer their skills to the remaining personnel.”

In the first round of negotiations, Solidarity asked Telkom to impose a two-year moratorium on retrenchments, and apply it retrospectively from April 1, 2011.

Telkom said on the release of its annual results earlier this month it had “neither the agility to seize market opportunities nor the ability to absorb competitive pressures ad infinitum”.

It therefore needed to “aggressively tackle the cost conundrum”.

“Labour support is vital in this area,” Telkom said.

Forum discussion

Shutterstock is the image partner of MyBroadband – more technology images

Join the conversation

Connect with Us

androidappletwitterfacebookgoogleplusfeednewsletter

Poll

Have you used WhatsApp voice calling yet?

View Results

Loading ... Loading ...

More News

More Samsung Galaxy S6 prices

Samsung Galaxy S6 and Samsung Galaxy S6 Edge

Rectron has opened pre-orders for the Samsung Galaxy S6 and Samsung Galaxy S6 Edge

New DStv prices kick in

DStv on remote

The DStv price hikes MultiChoice recently announced come into effect today

Telkom ramps up SME focus

ICT

The delivery of accessible ICT functionality tailored to grow small and medium South African businesses is a key priority for Telkom in 2015

MyBroadband launches DStv competitor

MyBroadband TV decoder with smartcard

MyBroadband has partnered with international content providers to launch MyBroadband TV – a DStv competitor offering over 100 channels for only R99 per month

X

Newsletter Subscription


Name
Email *
Enter the following to confirm your subscription *
Captcha image


Free MyBroadband Newsletter
Subscribe
X
bool(true)