News

‘Cut executives’ pay instead of firing ordinary workers’

todayMarch 21, 2024 41

Background
share close

 

Cosatu has slammed Vodacom’s planned retrenchments, saying the company should rather look at trimming down the fat of their executives.

The union was reacting to the telecommunications company’s recent statement of looming job cuts in South Africa.

The company, Africa’s largest wireless company which employs over 5 000 people, plans to lay off about 80 people in a move it’s described as a cost-cutting measure.

Speaking to YNews, Parks says it doesn’t make sense for a large company like Vodacom to cut jobs, when they pay top executives millions of rand.

This development comes as Vodacom enters the final stages of its legal battle with “Please Call Me” inventor, Nkosana Makate.

In February, the Supreme Court of Appeal ruled that the company should pay Makate compensation ranging between R29 billion and R63 billion.

Vodacom in its ConCourt appeal, warned of the dire financial implications that could arise from a large compensation payout.

The operator raised concerns that a payout of billions in compensation to Makate would be unreasonable, noting it would also have a negative impact on its network investment, coverage and social programmes, as well as the attractiveness of South Africa as an investment destination.

With the news of the retrenchments, Vodacom continues to face a flurry of issues in recent times.

Civil rights group, #NotInMyname, has been backing Makate’s bid to be compensated for his idea.

The organisation’s founder, Siyabulela Jentile, says South Africans should reject any ideas to portray Makate as the reason for the planned retrenchments.

Speaking to YNews, Jentile says this announcement by Vodacom comes across as a threat.

He says Makate needs to be celebrated by South Africans for the great invention that has changed the telecommunications sphere.

Jentile is urging Vodacom to pay Makate what’s due to him, saying the company has the money to do so.

 

Makate, an ex-Vodacom employee, has been embroiled in a legal battle with the telecoms giant over his ‘Please Call Me’ idea for almost 16 years now.

And some South African social media users believe he needs to be compensated for his work of genius.

 

 

Written by: Nonhlanhla Harris

Rate it

0%