Telstra management cull not enough: union

Telstra management cull not enough: union

Summary: The Communications, Electrical and Plumbing Union (CEPU) has said the Telstra management cull does not go far enough.


The Communications, Electrical and Plumbing Union (CEPU) has said the Telstra management cull does not go far enough.


(Sydney 500 image by Jon Ovington, CC BY-SA 2.0)

Telstra yesterday confirmed it was reviewing its management structure, a move that could potentially see 30 senior executives and 300 executives axed from the telco giant.

The CEPU's divisional president Len Cooper welcomed the cull.

"As far as we're concerned, we welcome that because these [employees] have been part of the team that's run down a pretty good company over the years. So we think it's long overdue," he said. "We have no sympathy for those 30 senior executives."

But Cooper said the union believed the management cuts may not have gone far enough.

"The only qualification that we have is that we're not sure some of the key decision makers that have created this problem for the company have been picked up — they may still be hanging on," he said, adding that the union would be meeting with Telstra to discuss the 300 executives speculation. Cooper said it may be code for cuts to operational staff.

"Our main concern is — typical Telstra spin — [that] they might be trying to lay off under the heading of a review of senior and middle level management positions," he said. "We're not sure how far down that will come [in] the company."

"They might be laying off more operational staff who are important to the customer service. There's already 900 operational staff going out the door as we speak," he said.

"We think it's going to push customer service back even worse from a company that's already under the hammer due to poor customer service."

Telstra confirmed that positions across the business were up for review but declined to speculate as to where any cuts might be made.

Topics: Telcos, Telstra, IT Employment


Armed with a degree in Computer Science and a Masters in Journalism, Josh keeps a close eye on the telecommunications industry, the National Broadband Network, and all the goings on in government IT.

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  • Gee well I guess managers don't want to be members of unions, you'd be wasting your money. What worries me in these cases is that good managers will get the boot while the ones that should really go end up hanging on because they are so good at covering their arses.
  • It is bad manners to critizise management in public if no discussion has been made by both parties. Union muscle does too much harm!
  • Whilst I will never condone retrenchment of any fellow Aussies anywhere, unfortunately what goes around... comes around (and I'm speaking from the perspective of one who is in management, although not even remotely related to comms)!

    For years clueless managers, with no vision have used "restructuring", simply as an excuse to cut employee numbers. They have also taken the anti-customer route of "outsourcing" to overseas call centres, to cut numbers, all in the name of the bottom line.

    And I'm sure they have mentioned retrenchments/outsourcing publicly (which is bad manners) before discussions. Short-sighted, managerial muscle is as harmful as union muscle.

    So managers... the wheel has turned and it's now your turn...just cop it on the chin, like those you have done likewise to, have had to.
  • Unions wont be happy untill the only managers left are union managers.
  • Unfortunately the vision begins at the top. Fire the board, in fact imprison them for providing a fraudulent service & calling it something it wasn't; the fastest in the world. My friend's service in the evening gets below 10Kb/sec & she lives in Hobart. Where is their 20Mb service that is the fastest in the world. So imprison the board & replace them with as one guy stated, not union managers, perhaps Dick Smith. At least an honest service will be provided.
  • It’s a terrible shame when anyone loses their job. When someone to stands on the sidelines sniping in this fashion it does not speak well of the individual involved or the organisation that they represent.

    The management of any public company is beholden to it’s investors. These same investors continue to place pressure on companies to increase profits and the dividends that they pay to shareholders. I can’t help wondering whether Australian Super (which is recommended by the CEPU and overseen by the numerous members of the Australian Union movement) own shares in Telstra.