23 employees up for the chop
Some employees at Botswana Telecommunication Corporation Limited (BTCL)have fallen by the wayside as the company’s privatization process gets underway.
Following recent media reports regarding a possible retrenchment at BTC, the company’s Chief Executive Officer, Paul Taylor has denied that the job losses have been a result of the privatisation process.
The BTC boss confirmed that 23 employees have been given retrenchment letters but said it was because they did not fit into the company’s new structure.
“The job losses that were reported in the media resulted from the change in the organisational model.
What we did was, we documented and improved processes and looked at how the organisation needed to be shaped to deliver against that long term vision of fixed and mobile and converged processes.
As a result of that organisational change, which would have happened anyway- It did not happen as a result of privatisation or separation, It happened because we reinforced our focus on the strategy and moved the organisation.
As a result there were about 23 individuals who, unfortunately did not have a match in terms of the skills that the organisation required,” he said.
Regarding the company’s financial performance Taylor, says ever since the privatisation process started the BTCL profits have been driven by the company’s mobile network- beMobile, to boost the financial outlook.
Taylor disclosed that profit before tax increased by 20% from P237million recorded in the 2011/12 period to stand at P284million in the 2012/13 period.
“Revenues were largely driven by our mobile network which saw a 58% increase to record revenues of P325million for the period compared to P206million in the 2011/12.
Revenues from data and private circuits were a 12% increase rising to P510million from P455million in the previous financial period.”
Leonard Makwinja, the BTC Chairperson said before the introduction of beMobile the company faced stiff competition from the local mobile operators.
“We saw the revenues at BTC being eroded. But BTCL has since grown and we’ve taken it to a point where it is now ready for privatisation.
The privatisation of BTCL is expected to be finalised in August this year while December has been earmarked for the listing in the Botswana Stock Exchange.