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MTN employees protest over bonuses

Bonnie Tubbs
By Bonnie Tubbs, ITWeb telecoms editor.
Johannesburg, 11 Mar 2015
About 250 MTN customer service consultants protested over bonus cuts this morning.
About 250 MTN customer service consultants protested over bonus cuts this morning.

Around 250 MTN customer service consultants protested over bonuses outside the company's 14th Avenue headquarters in Fairland, Northern Johannesburg, this morning.

The industrial action came after employees were sent letters yesterday informing them that they would receive a bonus of 4% of their annual salary this year, as opposed to the considerably higher, ex gratia amount they have received in previous years.

MTN spokesperson Bridget Bhengu says workers are appealing for either a thirteenth cheque or an ex gratia amount in excess of 4%. She says the customer consultants usually get around 30% of their annual salary in bonuses.

MTN has promised to get back to the group on their bonus petition by next week Monday.

Chief human resources officer Themba Nyathi says industrial action by customer service consultants was short-lived. "We are aware of their concerns and we are treating them with the utmost attention and sensitivity."

He says MTN will continue to engage its employees in good faith to ensure that the outcome is in the best interest of the company, its employees and its customers.

"We wish to apologise unreservedly to our customers for any inconvenience caused."

MTN has been looking at ways to cut costs in recent months and has already implemented hundreds of retrenchments. The company may also be looking at outsourcing some of its non-core divisions.

Business Day this morning cited MTN SA CEO Ahmad Farroukh as saying the company was also reviewing commissions paid to sales and partners.

MTN's group profit after tax gained from R30.8 billion to R37.7 for the year to December.

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