Noe of South Africa’s giant mobile operators Cell C reportedly notified its employees that it plans to get on on a restructuring process which could lead to job losses.
This is according to trade union Solidarity Union who cited that they received this information from a letter sent to some of its members.
In March, Cell C’s largest shareholder Oger Telecom was reportedly is looking at selling its stake in the company. Other reports suggested that mobile operator was working with Goldman Sachs to explore its options in SA, including a possible sale.
According to the letter dated 28 April 2015, the idea of the restructuring process was designed to improve the company’s effectiveness, streamline its business and avoid the duplication of functions.
The union argued that at this stage, 47 positions are affected by the process. However, it added that Cell C indicated that more positions could be affected in the short term.
Cell C management cited that it was involved in a consultation process to decide the selection criteria that will be followed during the process, and to discuss the possibility of alternatives such as severance packages.
The network provider said some of its members were already receiving an indication that they are affected by the process. It therefore requested Cell C to participate in the consultation process in order to limit the impact of the process on its members.
In a statement Cell C confirmed that it commenced the process of consultation in respect of possible retrenchments.