19.8.2014
- Within the scope of transformation worker surplus was established; the Company intends to terminate employment contracts for approximately 160 workers
- Departing workers will receive severance pay as defined by the Collective Agreement
- Possible surplus management by internal transfer to job positions where workers are needed
Within the scope of the transformation process initiated at the beginning of 2014, employee surplus was established at Hrvatski Telekom, therefore the Company intends to terminate employment contracts on business-related grounds for approximately 160 workers. Activities have been initiated in line with the Labor Act and the Collective Agreement and will be conducted in the course of September and October.
HT is conducting company transformation in order to set up the basis for future growth and expansion of operations under conditions of the long-term economic crisis and continued deterioration of the Croatian telecommunications market.
Therefore, in the course of 2014 many actions were taken to increase operational efficiency; for instance, to make the organization more agile and more efficient, the organizational structure was streamlined and managerial positions were cut by 31 per cent
Headcount reduction is part of an indispensable process of business optimization aimed at maintaining the Company's operational efficiency and ensuring stability and future business even under adverse economic conditions.
HT is handling the collective employee surplus management process with a high level of social sensitivity and responsibility. At the moment of leaving the Company, employees will receive severance pay in amounts set forth by provisions from the Collective Agreement, the calculation being based on the number of years of uninterrupted service in the Company. At the beginning of July a new Collective Agreement was signed with the representative unions, ensuring a high level of rights for HT employees.
Workers designated as surplus will be offered the option to enter a selection process for job positions where employees are needed, which pertains primarily to the Contact Center.