Today's Labour News

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mtnBusiness Report writes that multinational mobile telecommunications company MTN has come under fire for plans to start a retrenchment process.

MTN's notification came after the company reported a profit of around R14 billion in the latest financial year and exceeded all its targets. According to trade union Solidarity, MTN's management was acting callously and immorally by announcing retrenchments while the company’s financial figures indicated such a huge success. “To dismiss such a significant number of your labour force despite billions in profits that even exceeded the company’s own expectations paints a glaring picture of South African society and the role large companies like MTN play in it,” said Linda Senekal, network coordinator for Solidarity, in a statement on Friday. The union claimed that it was difficult to see the retrenchments through a lens other than one coloured by MTN’s intended takeover of Telkom. The two companies confirmed in July that they were in early talks about MTN taking over Telkom. “What MTN is trying to do with its employees is actually illegal. If MTN foresees that there will be a duplication of roles if it were to buy Telkom, then it must deal with it in terms of the prescribed section 197 process. MTN cannot hide behind the appearance of a normal retrenchment process,” Senekal commented. Solidarity emphasised its continuous support for its members who were part of the MTN workforce.

  • Read the full original of the report in the above regard by Ashley Lechman at Business Report


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