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Solidarity unhappy with MTN job cuts

Staff Writer
By Staff Writer, ITWeb
Johannesburg, 25 Aug 2014
Solidarity claims 847 staff in managerial positions will lose their jobs.
Solidarity claims 847 staff in managerial positions will lose their jobs.

Trade union Solidarity has expressed concerns with MTN's job-cutting process, saying employees have not been informed that unions can represent them during retrenchments.

In a statement released today, the union claims MTN last week told employees that it intends to layoff "847 staff in managerial positions", citing weak earnings and growth.

Although this figure has not been confirmed by the operator, Marcus Croucamp, head of the communications industry at Solidarity, said the union "has already expressed its dissatisfaction with the company's failure to mention in its letter to employees that registered trade unions may represent their members during the layoffs.

"Solidarity will meet with the company's management regarding the planned layoffs shortly. We will then officially raise objections to the employer's failure to inform employees that they are entitled to receive assistance from their trade unions during the process," said Croucamp.

He added that section 189 of the Labour Relations Act stipulates that an employee has the right to be represented by a registered trade union, of which he or she is a member, during retrenchments.

Croucamp claimed MTN aims to finalise the layoffs by the end of October. "If there isn't sufficient time for trade unions to consult with the employer regarding the layoffs, we will request that the process be extended."

When approached for comment, MTN referred ITWeb to a response made by its human resource officer Themba Nyathi last week, who said organisational restructuring is at a "very early stage and we will update the market as key decisions are made".

MTN also noted it is driving a group-wide strategy to respond to challenging market conditions, by improving its operational efficiencies and adapting its business model to continue expanding its product offering into the digital space.

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