Telecommunications group Telkom has halted engagements with organised labour over its “aggressive” restructuring programme that could see thousands out of a job within a few months.

The company on Friday said it would now approach the Commission for Conciliation, Mediation and Arbitration (CCMA) to facilitate further engagements.

The proposed Telkom 2.0 restructure would primarily affect the wholesale and networks and centre for learning businesses.

“Despite a number of meetings over the past two weeks, [we have been unable to reach an agreement with] the Communication Workers Union, Solidarity and the South African Communications Union on a process to progress this critical next step in our multiyear turnaround programme,” the group noted.

It added that the unions had declined to accept the offer of voluntary severance packages and voluntary early retirement packages across the impacted areas of the business.

The group was offering voluntary severance or voluntary early retirement packages to around 4 400 employees. This was in addition to 3 400 staff members who would either be outsourced to other companies through a Section 197 business transfer process or enter Telkom’s enterprise development programme, which would allow former Telkom employees to contract their services back to Telkom.

“We have sought to collaborate with unions through the setting up of working groups, to explore additional potential options to mitigate the expected staff impact within the Telkom wholesale business and other affected areas,” stated Telkom.
 
“We are disappointed that all parties involved have not been able to make meaningful progress with the discussions. We had hoped to further interrogate the options we have put on the table, to mitigate the impact these changes will have on many of our people but with discussions stalled we believe the involvement of the CCMA is the correct and necessary next step,” said Telkom group communications managing executive Jacqui O’Sullivan.

Meanwhile, Solidarity communications head Marius Croucamp accused Telkom of using bullying tactics, stating that the process was not transparent and that employees were forced to make uninformed decisions about their future.

He said Telkom was also attempting to force workers to accept the process by arguing that the government was not opposed to its plans to retrench thousands of workers.