KTH reassures employees merger is about making money to save firms

The National Business

By MARK HAIHUI
KUMUL Telikom Holdings (KTH) deputy chairman Reuben Kautu says the telco merger will have State telecommunications companies operating in existing management roles, but under its overall coordination.
Telikom PNG, bmobile-Vodafone and DataCo will merge under KTH.
Kautu told The National that eventually there would be structural changes but at the moment it was about repositioning employees.
“There will eventually be structural changes, but at the moment we are repositioning people into those business units so that we create that platform for us to make money,” Kautu said.
“At the moment, three companies cannot perform as best as they can while in the same industry.”
Employees raised their concerns in a petition to KTH on Wednesday
“I was present to accept the petition,” Kautu said.
“In the petition, they accepted the merger but their concern was about whether or not employees will keep their job.
“We told them explicitly that it will not come down to losing jobs.
“What we are doing is placing people where their expertise is needed within those three companies.
“We will eventually have an official mobile business and fixed business all housed under Kumul Telikom Holdings.”
In an open letter to all employees of Telikom PNG, bmobile-Vodafone and DataCo, the KTH board said:

  • No assets or cash would be passed between three operating entities;
  •  No staff would have their rights or entitlements impacted by the changes;
  •  The fundamental underlying profitability of each entity would be maintained; and
  •  No element of business was taking over another. A Kumul Fixed Business and Kumul Mobile would be created over time and this should not be confused with transferring existing businesses between companies.