Today's Labour News

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newsMyBroadband reports that staff at the Business Connexion Group (BCX) have received an email from the company’s CEO, Jonas Bogoshi, informing them that the information and communications technology company has started a “section 189 process”.  

A section 189 process refers to the retrenchment of staff due to operational requirements.  The e-mail states:  “Today, we have served the unions with Section 189 notice which invites the unions to attend the first CCMA facilitated consultation session meeting set for the 21st November 2018.”  It goes on to indicate that “many discussions and various considerations” for alternatives took place, but strategies in place to mitigate declining voice revenues will “not substitute for the decline as the replacement technologies and new revenue streams are at lower margins”.  In a separate document addressed to labour unions, the retrenchment process is said to affect approximately 790 BCX employees.  The notice to staff follows two significant sets of events at BCX and Telkom, BCX’s parent, in recent months.  At BCX, there has been an exodus of top executives this year.  At Telkom, the company announced in September it would start offering voluntary separation packages and voluntary early retirement packages to staff.

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