Johannesburg, 11 Feb 2011
Trade union Solidarity has slammed fixed-line operator Telkom's decision to offer voluntary “retrenchment” packages.
It argues that the offer will result in a skills purge at the telco, and may also be based on race and gender discrimination.
But Telkom has defended the offer, arguing it is purely a voluntary separation package (VSP). The word “severance” used by Solidarity is misleading as it seeks to give the impression that Telkom is laying people off or retrenching, the company said.
According to Solidarity spokesperson Marius Croucamp, Telkom has indicated it will not negotiate with trade unions about the content of the proposed packages.
Telkom argues that it did not consult organised labour about retrenchments on Tuesday. “The whole discussion was about “voluntary separation packages” that the company intends to offer to its bargaining unit employees, who may voluntarily want to take them,” says the company.
The union says Telkom was planning to offer voluntary severance packages last year. However, when Jeffrey Hedberg was appointed as acting executive head, he put a stop to the plan, because it would not make “business sense”.
“Now that Hedberg has not renewed his contract, the plan is being tabled again, although it still does not make sense to get rid of skilled employees to the detriment of service delivery,” says Croucamp.
“Telkom has to put its cards on the table over the proposed packages and state the real reasons behind the move,” he warns.
“The criterion should be to retain critical skills. If Telkom persists in using race and gender as criteria for awarding voluntary severance packages, Solidarity will take legal steps, since these criteria constitute blatant discrimination.”
Telkom has also indicated it would not give reasons for accepting applications for packages. “The process is, therefore, not transparent and discrimination on the basis of race and gender is a real possibility.”
According to Croucamp, Telkom should rather focus on retaining and developing critical skills within the organisation, to improve service delivery.
However, Telkom explains that VSPs were offered to managerial staff early last year and the same is being extended to bargaining unit employees this time round, and there is no controversy surrounding this.
“The departure of the acting group CEO, in March, has no bearing on the decision to re-introduce this facility,” states Telkom.
“The reasons for delaying the offer were shared with all trade unions at the time. Primarily, the intention was to afford the company the opportunity to complete its strategic review while ensuring that employees with the skills required to execute its strategy are not released,” continues the company.
Telkom stated it is also mindful of the fact that a transparent process will be followed with clearly defined criteria.
The voluntary packages will be offered from 21 February to 18 March. Staff members who terminate their services on 31 March will qualify for six months' salary, while those who leave on 30 April will only qualify for four months' salary.
Related story:
Telkom plans further staff cuts