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STAFF TRANSITION

STAFF TRANSITION. Telkom Direct 2011/12. Purpose of Presentation. To consult Organised Labour about the closure of some Telkom Direct Stores and redeployment of all impacted staff to other available opportunities, with minimum disruption to employees’ lives. Context: Store Closures 2011/12.

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STAFF TRANSITION

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  1. STAFF TRANSITION Telkom Direct 2011/12

  2. Purpose of Presentation To consult Organised Labour about the closure of some Telkom Direct Stores and redeployment of all impacted staff to other available opportunities, with minimum disruption to employees’ lives

  3. Context: Store Closures 2011/12 • Strategy embarked upon in 2010/11 re 1&2 Man Stores • Continuation of 2010/11 strategy into 2011/12 • Difference 2011/12 vs 2010/11 re opportunities created by the VERP/VSP process • Closures intended to occur at lease expire date, but due to VERP/VSP impact moved earlier • VERP/VSP also impacted other stores where rebalancing opportunities are currently being investigated • Consultation to take place once detailed analysis had been completed

  4. Strategy – 1&2 Man Stores • The decision to not continue with leases of 1&2 Man Stores in 2011/12 comprise of a combination of factors: • Existing customer base in area • Future growth opportunities in area • Not commercially viable as a business entity from a access network point of view • Alternative channels are available to customers in area

  5. Impact on Telkom Direct 1&2 Man Store Strategy • Ten (10) 1&2 Man Stores earmarked for closure in 2011/12 • Four (4) of these stores were impacted by VERP/VSP applications • This to result in earlier closure than lease expiry dates • Early closure of remaining 6 stores to enable rebalancing of resources to fill gaps left by VERP/VSP departures • Total of 18 staff impacted by closures of which 5 already left as per their VERP/VSP applications. • Remaining 13 staff to be redeployed

  6. List of Impacted Stores & Staff 1 & 2 Man Stores

  7. Transitional Principles • Total of 13 employees impacted • All impacted employees to be accommodated • Proposed transfers will be to the nearest store where staffing opportunities exist due to business need: • Transfer/relocate to identified regional critical vacancies or regional opportunities. • Transfer/relocate to identified national critical vacancies or national opportunities

  8. Transitional Principles (Cont) • Transfers to be done with minimum disruption to employees • Where applicable, relocation benefits will apply

  9. Process to Follow • Establish Regional Task Teams consisting of TDS Line Management, HR, ER and Organised Labour to oversee staff rebalancing • Impacted staff briefed by Regional Task Team • Theseemployeestoexercised their options and communicate their decisions • Complete implementation prior to 30 July 2011

  10. Points to Consider • No employee is redundant as a result of these changes. • Transfer Benefits as per the current Transfer Policy.

  11. Thank You

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