Telkom SA Pushes on with Management Retrenchment Plans

By Skills Junction

Telkom South Africa has announced it will reduce its management team by an unspecified amount over the coming weeks as part of its restructuring and cost-cutting plan.

The fixed-line operator has received strong opposition to the plans but has maintained the stance that the action is necessary in order to “secure the future commercial sustainability of the business”.

Initially discussed in July, the goal of the strategy is to reduce costs by R1 billion annually for the next five years, making the 2,650 people currently occupying senior positions a prime target for such drastic savings.

While the exact number of people to be let go has not been revealed, Labour organisations such as the Solidarity union and South African Communications Union (SACU) have been outspoken in their opposition to any such measures.

Around a quarter of the South African population are currently unemployed, and the Solidarity Union have threatened to take legal action against Telkom as a consequence, demanding that the company retracts redundancy notices sent to its members.

A company statement has refuted this notion however, confirming that it had carried out its retrenchment plans in line with legal obligations. 

Share

Featured Articles

Meet the COO: Brook Sims of MAC Diversity Recruiters

Passionate about helping others find their voice, diversity leader and COO Brook Sims talks powerful leadership, diverse teams and being a change agent

Best business books to improve leadership strategy

From strategic guides to inspiring CEO memoirs, these new books dish up plenty of principles, strategies, and anecdotes to help you become a better leader

Shoplazza founder and CEO Jeff Li, ex Baidu, on leadership

Named in Fortune China’s 40 under 40 for 2022, former Baidu head Jeff Li is the entrepreneurial founder and CEO of ecommerce platform Shoplazza

The office shifts to new way of working – workplace special

Leadership & Strategy

Trailblazer: Clorox's DEI leader Shanique Bonelli-Moore

Sustainability

The inspirational CEO story – Dean Forbes of Forterro

Leadership & Strategy