Vodacom's response
by
2007-07-06 10:59
Vodacom can confirm that out of its 4 302 employees, fewer than 3% participated in the strike, which commenced on 2 July 2007. Vodacom was compelled to seek an urgent interdict from the Labour Court of South Africa on Tuesday, July 3, against the striking members of the CWU for its blocking of the entrance to Vodaworld in Midrand. This was in clear breach of the agreed upon picketing rules. The interdict restrains the CWU striking Vodacom employees from entering or being upon Vodacom's premises - and from interfering with or obstructing access to Vodacom's premises in any way.
Vodacom will continue to exercise its right to lock-out Vodacom (Pty) Ltd employees who are members of the Union and who are participating in the strike to compel such members to adhere to the terms of the 1999 Collective Agreement on organisational rights. The number of employees on strike so far, total 134 members of the Communication Workers' Union (CWU), which has a total of 432 paid-up members in Vodacom.
The dispute relates to the CWU's demand for its right to be recognised as an organisation within Vodacom. This would allow the CWU to negotiate issues on behalf of the employees they would represent. The Labour Relations Act and case law requires that a union meets "sufficient" representation in an organisation of 30% of the employees to qualify for the right to be recognised and negotiate. The Union will be recognised once 30% membership has been reached.
On this recognition the Union would be entitled to 5 organisational rights:
1. to stop order facilities;
2. access to company premises;
3. leave for union offices bearers who are also employees of the company;
4. to elect shop stewards; and to
5. disclose information if it represents the majority of the employees at the workplace.
All these rights are subject to the union being "sufficiently" representative of the total number of employees at the work place. A union is entitled to majority, which means 50% plus 1 of the employees at the workplace. The legal situation and best industrial relations practice clearly shows that the CWU's representation in our organisation is at present too low to qualify for the organisational rights demanded - according to our records, the CWU effectively represents only 9.8% of the workplace. Vodacom has rigorous systems in place to ensure that we always adhere to every aspect of Labour Law and all other legal requirements.
Despite the low CWU representation, during the 1999 agreement with the CWU (that is still in force) Vodacom agreed to stop order facilities for union members, and granted CWU trade union officials access to Vodacom premises.
On the most senior level within the Vodacom Group, our CEO and a number of senior executives and the CWU senior officials have attended a number of meetings. Unfortunately, whilst every effort has been made to resolve the disputed issues in a mutually satisfactory manner, these meetings have not ended the dispute as yet.
Last month our CEO Alan Knott-Craig met with almost every single employee in Vodacom South Africa's operation during his annual CEO roadshow. His communication to staff was open and frank, and there were no issues raised that would confirm the CWU complaints. The majority of staff were highly motivated. Also, our CEO's attitude to unions was placed on record: "Unions have a place in our society which, when used constructively, can be a very positive mechanism for ensuring that people are treated fairly and with respect."
On saying this, however, naturally in a strike situation Vodacom as an organisation also has rights - which include the right to lock out staff members who engage in industrial action against the company. We have 23 million customers in South Africa and will make every effort to ensure that no service is disrupted.
Vodacom does not believe the CWU's accusations are valid. We have engaged with the CWU, tried to resolve the disputed issues and have respected members' rights to industrial action. At the same time we have made every effort to ensure the smooth running of our business.
Vodacom has an excellent track record of healthy employee relations, characterised by one of the lowest staff turnovers, strong and stable management and low trade union activity. Vodacom employees enjoy amongst the best benefits in the industry, of which the following are a summary:
1. Staff have the opportunity to air grievances and have a say in issues such as retirement and medical aid benefits, as well as policies that affect their employment;
2. We also actively encourage employee Consultative Committees, which are run by elected employees and address issues important to our staff corps;
3. Minimum wage of R90 000 per annum including company contributions to Pension Fund and Medical Aid (choice of 2 schemes);
4. Annual salary review and remuneration progression process to ensure that salaries are in relation to the economic environment;
5. Maternity 6 months paid leave;
6. Pension fund;
Death benefits: spouse / beneficiary receives lump sum together with monthly pension;
Disability benefits: lump sum as well as monthly income;
7. Employees have access to a Micro housing loan scheme which is guaranteed by the Pension Fund to provide staff the ability to purchase their own home;
8. Variable remuneration - short term and long term incentives;
9. Profit based performance incentive which recognises exceptional performance;
10. Customer care bonus scheme which recognises exceptional performance;
11. Phantom Share Option Scheme available to all permanent employees to create ownership and recognise loyalty;
12. All employees and their family members have free access to Netcare 911 emergency services;
13. All permanent employees receive a discounted cellphone benefit;
14. All permanent Vodacom Staff have access to an Insurance scheme which provides them with cost-effective short term insurance;
15. Vodacom Employee's receive numerous wellbeing benefits including onsite therapeutic treatments, personal grooming and ad hoc services;
16. ICAS confidential 24 hour personal support and counselling service to assist employees and their families with everyday situations and more serious concerns;
17. Vodacom bears the full cost of Direct HIV/Aids intervention;
18. Vodacom offers an aesthetically beautiful, comfortable and caring working environment;
19. Vodacom offers training and development programmes to develop staff to their full potential; and
20. Vodacom has an internal bursary scheme to provide financial assistance to permanent employees to further their education called the Yebo Bursary scheme.
Issued by Dot Field, Chief Communications Officer, Vodacom (Pty) Ltd on behalf of Vodacom.