Solidarity has requested fixed-line giant Telkom re-enter into salary negotiations with the trade union, after a dispute was declared. The union says its request comes in the wake of reports that Telkom's top management received "exorbitant" salary increases, while many employees, according to Telkom's final wage offer, will basically get no increase.
Solidarity maintains the situation has led to a breach of trust between top management and ordinary employees.
Several months of wage talks with Telkom were brought to an end in the first week of August, with the signing of a three-year wage deal with the company's second-largest union, the South African Communications Union. The deal will see Telkom's wage bill grow 6.8% a year.
The agreement followed one reached with the Communication Workers Union a few weeks prior. Solidarity did not sign the three-year deal, but indicated to Telkom CEO Sipho Maseko that the deal can be implemented although the union has reservations.
Solidarity spokesperson Marius Croucamp says Telkom is outspoken about its financial difficulties, yet exorbitant salary increases are awarded to its top management. "Telkom initially offered a 1.5% increase for employees. The offer was, however, revised later and the final offer was linked to a differentiation model," says Croucamp.
"The model involves a three-year agreement that, according to the company, is aimed at rectifying historic salary imbalances. According to the new agreement, certain employees will receive an increase above 6%, while others will get virtually no increase, which comes down to a wage freeze.
As a result of the agreement, certain employees will, in real terms, get a wage decrease over the next three years, as they will stay on the same salary level during that period."
Croucamp says the three-year wage agreement was implemented in spite of Solidarity's dispute. "Telkom has been requested in writing to carry on negotiations with the trade union," he says.
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