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MTN gears up for strike action

Staff Writer
By Staff Writer, ITWeb
Johannesburg, 18 May 2015
The Communication Workers Union is behind call centre workers taking MTN to task.
The Communication Workers Union is behind call centre workers taking MTN to task.

MTN is gearing up for disruptions to its call centre services and has apologised to customers in advance, as staff members - disgruntled over the company's refusal to pay bonuses - vow to take to the streets in strike action on Wednesday.

The customer service agents are taking MTN to task over its refusal to augment the 4% of salary ex gratia payments to which it conceded. MTN has explained bonuses were not allocated because MTN SA did not deliver the required level of growth and was not able to declare a performance bonus. Customer consultants usually get around 30% of their annual salary in bonuses.

In a statement this morning, MTN said it would "do its best to provide customers with products and services at optimal levels, while some of the employees go on industrial action [on 20 May]".

MTN urges customers to be patient should they experience any delays when trying to reach its call centres on Wednesday.

Over the weekend, MTN's automated call centre message indicated it was already experiencing high call volumes.

Last week, before the strike had been confirmed, concerns had already been raised that service could be disrupted to end-users at SA's second-largest cellphone operator with 28 million subscribers. MTN is also Africa's biggest mobile company, with 227.5 million users, and 22 000 staff across the group.

Last year, MTN retrenched 476 workers and is now in the midst of another restructuring process in its enterprise unit, although the company has said it does not plan to cut jobs.

Employee demands

This week's planned protest action is spearheaded by the Communication Workers Union and follows approval by the Commission for Conciliation, Mediation and Arbitration, for some of MTN SA's staff to engage in industrial action in support of their demands for a bonus increase.

MTN has had engagements with its employees on the following demands:

  1. Review of the current bonus model. Staff have asked for a guaranteed 13th cheque.
  2. A return of canteen subsidies.
  3. Cellphone allowances.
  4. The introduction of MTN Shine (a new reward and recognition programme).

Chief HR officer Themba Nyathi says, based on the consultations around the said demands, MTN has agreed on the following:

  1. Regarding a bonus model review: bonus model: Level one and two employees will qualify for a guaranteed 4% of annual salary at the end of each year - specifically in the 19 December 2015 payday.
    Level one and two employees will additionally get a guaranteed 13th cheque every year in March. Both these 4% annual salary and the 13th cheque payments will be guaranteed irrespective of the company performance.
  2. Canteen subsidies have been returned and increased in response to employee feedback.
  3. Cellphone benefits: The data limit for employees was reviewed and increased in line with personal usage. An extra SIM card was added to be used by any person of choice nominated by staff.

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