Telkom is looking to cut down on staff numbers in certain areas of its business, offering voluntary severance (VSP) and early retirement packages (VERP) from 15 March to 31 August - before embarking on a retrenchment process, if necessary.
Telkom today announced to its employees that management and bargaining unit staff will be afforded the opportunity to apply for VSPs and VERPs.
This follows formal consultation with internal and external stakeholders, including the three recognised trade unions - Communication Workers Union, South African Communication Union and Solidarity. "This was necessary as the majority of Telkom's employees who form part of the bargaining unit are primarily represented by these organised labour outfits."
Urgent need
Thami Msubo, Telkom's chief of human resources, says the offer is necessary as there is an "urgent need" for the company to address its human capital requirements, which impacts substantially and directly on the company's cost base.
With changes within the Telkom business, says Msubo, the company endeavours to improve efficiencies and re-align skill levels. The VSP/VERP offer, he says, is the most efficient and non-invasive way Telkom could find to start taking control of its headcount costs.
Msubo emphasised that the decision to apply for a package is at the sole discretion of every employee. However, the employer also has the sole discretion to accept or decline the application based on the business requirements.
He says Telkom may have to retrench staff, should the voluntary severance route not have achieved the desired results by the end of August.
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