In a letter sent to unions on Wednesday, the telecommunications company says the decline in voice calls and landline data (ADSL), as well as “operational inefficiencies” are the main reasons why so many employees have become redundant.
The first of two rounds of retrenchments is at OpenServe, as well as information technology and consumer services. It is envisaged that these employees will leave Telkom’s service by the end of April this year.
OpenServe is Telkom’s division that provides wholesale services. It’s also its largest division, with 7,899 employees. Telkom says OpenServe’s operating structure is set up to support fixed-line services, as well as a large part of its consumer division.
The second round of retrenchments is at Telkom’s corporate division, where 310 people work. It is anticipated that this round will be completed by August.
The letter notifies unions of the restructuring in terms of sec. 189 and Art. 189A of the Labor Relations Act. The
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