Local Telecommunications Company, Telkom, has reported a more than 66% decline in headline earnings. The Group says this is as a result of a decline in fixed voice and the impact of COVID-19 on the business.
South African telecoms firm Telkom said on Monday its earnings in the year to March may have fallen by as much as 70% due to one-off costs relating to job cuts and the impact of the coronavirus pandemic.
Telkom says it will be slashing its uncapped data prices, however, it didn’t clearly indicate the reduction percentage.
Commissioner at the Competition Commission Thembinkosi Bonakele says negotiations with MTN and Telkom are at an advanced stage and a conclusion can be expected soon.
Metalworkers union NUMSA says Telkom has been unable to justify why it plans to retrench three-thousand workers.
Telkom customers took their frustrations to social media on Friday for what they call “poor connection problems”. They claim that they cannot even make or receive calls.
The Communication Workers Union has warned of the possibility of protest action if Telkom fails to follow proper processes on the retrenchment of workers.
Fixed-line operator, Telkom, is starting a consultation process with labour unions on Wednesday over its plans to retrench 3000 employees.
South Africa’s Communication Workers Union (CWU) is angered by Telkom’s plan to cut up to 3,000 workers, it said on Sunday and called for an urgent meeting with the ruling party and the Minister of Communication.
The Communication Workers Union (CWU) wants workers who will be affected by the planned retrenchments at Telkom to be assisted to set up their own businesses.