Unions, Telkom sign job cuts deal

By Rodney Weidemann for Telkom

Johannesburg, 04 Feb 2005

Officials from Telkom and the Alliance of Telkom Unions (ATU) have put pen to paper on a headcount management deal, which opens the way for the monopoly to begin offering its enhanced voluntary severance packages to all staff.

The agreement will enforce a moratorium on retrenchments until 31 March 2006, although at present, this moratorium is applicable only to non-unionised staff and members of the ATU, which comprises the SA Communications Union (SACU) and Solidarity.

The Communications Workers` Union (CWU) has yet to sign the agreement and is presently in discussions with Telkom management regarding the operator`s planned retrenchments.

"We urge the CWU to seriously consider Telkom`s proposal so that this offer can also be extended to its members, since at the moment, CWU members cannot benefit at all from the agreement that has been signed," says Telkom`s human resources group executive, Oupa Magashula.

"An agreement signed by all three unions would certainly be a morale booster for all employees, and would likely help to stem involuntary separation."

He says the moratorium may also be extended, should the revised approach prove successful, particularly when combined with other operational efficiency measures to boost productivity.

The deal will see Telkom offer a combination of voluntary separation packages, while also reducing other staff costs-related expenditure.

A joint national committee, featuring parties from both Telkom and the ATU, has been established, and this will monitor the implementation of the voluntary process, the set time frames for the process and provide input into drafting briefing documents for employees.

The monopoly will have sole discretion in terms of approving or declining applications for voluntary separation packages, although the unions can still raise the matter in the national committee for investigation and resolution, should one of its members be declined.

Magashula says employees whose applications are accepted and exit the company by 31 March 2005 will still qualify for this year`s gain-sharing bonuses, even though these are traditionally paid out in July.

"The agreement is definitely a win-win situation for all the concerned parties, particularly as it augurs well for future management-labour relations," says SACU`s deputy general secretary, Jannie Volschenk.

Trade union Solidarity`s general secretary for the telecommunications industry, Dawid Durie, was also upbeat about the outcome of the agreement.

"We hope that we can continue to work towards building a healthy relationship with Telkom, with an eye towards a long-term approach of eliminating job losses," says Durie.