Solidarity, the mainly white trade union, and the left-leaning Congress of South African Trade Unions were to work jointly on Monday to protest against retrenchments by fixed-line monopoly Telkom — by posting 25 statements on the door of the National Assembly.
Solidarity spokesperson Dirk Hermann said this would happen “symbolically” at 2.30pm when the statements will be stuck on to the large doors of the Assembly — which are only opened up normally for the official opening of Parliament, President Thabo Mbeki or important state occasions.
The two union formations are joined by the Communication Workers’ Union in their protest action, which precedes a debate in the National Assembly on Tuesday afternoon on the Telkom retrenchments.
Freedom Front Plus MP Corne Mulder will lead the charge in a discussion on “the planned retrenchment of 7Â 600 workers at Telkom” according to the programme for the week.
The 25 statements note, among other things, that in the past financial year Telkom made a profit of R4,592-billion, or R12,85-million a day.
“The CEO’s salary during the same period was R11,1-million, or R30Â 410 per day. Telkom’s financial position was so good that it bought back 22,2-million shares. The CEO has been allocated R1,4-million in stock as part of the company’s recently created share plan.”
It notes that the 3Â 000 management employees will be allocated up to 2% of Telkom’s equity, with a similar portion going to the 29Â 000 ordinary staff.
Thintana Communications, the unions note in protest item five, made up of American and Malaysian interests, recently sold half of its 30% share at a profit of several thousand million rand “rendering their current 15,1% shareholding effectively free of charge”.
“The same group earned by means of a management agreement R1,1-billion within three years and two of its men — probably the driving force behind Telkom’s actions — received remuneration of R10,8-million and R15,3-million respectively.”
Telkom expects positive results for its interim results to be released on November 15.
The unions note: “Telkom expects a rise of between 60% and 80% in basic earnings per share and 50% to 70% in headline earnings per share for the half year to the end of September 2004.”
Yet Telkom has announced its intention to reduce its headcount by 7Â 602 in the next three years, the unions note in protest item seven.
The unions said in a country with an unemployment rate of 42%, companies “must act more responsibly when it comes to retrenchments and job cuts”.
Telkom’s plans to reduce its head count are “simply socially irresponsible”.
“It means a loss of jobs for the economy, whether through forced retrenchments, voluntary retrenchments or natural attrition.” — I-Net Bridge