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Issue #1627      February 19, 2014

Telstra slashes more local jobs as profits surge

Unions have slammed a Telstra plan to send another 1,000 Australian jobs, including hundreds from Sensis, overseas at the same time it announced a massive $1.7 billion half yearly profit.

Community and Public Sector Union (CPSU) national president Michael Tull said: “Today’s profit results confirm that Telstra workers are delivering great outcomes for the company and for its customers. However, rather than reward staff for their efforts, Telstra executives are slashing another 1,000 Australian jobs and sending work offshore.

“There is growing alarm about job losses in many sectors of the economy right now. Australians are increasingly uneasy that extremely well paid Telstra executives are being rewarded for putting thousands of mums and dads on the dole and then sending their jobs overseas.

“They are also uneasy that the federal government is doing nothing to stop this happening. Telstra has made over $3 billion profit every year for the last five years. It remains Australia’s leading telecommunications company with over 15 million mobile customers.

“This is a strong business but it needs to look after the workforce on whom its profits are built and the Australian community whose strong support has allowed it to prosper,” Mr Tull said.

According the union, Telstra announced over 2,000 job cuts last year and based on analysis of Telstra’s business plan, anticipates job cuts in 2014 to be even higher.

Tull said that the scale of job losses and offshoring in Telstra is an issue for the whole community. Around a third of Telstra work is done overseas by outsourced providers and this figure is climbing every day.

He said Telstra executives need to be accountable for the thousands of Aussies they are putting out of work.

“We need new obligations on employers like Telstra, to build the skills and increase the employment security of Australian telecommunications workers.

“And finally the government needs a plan that encourages companies like Telstra to maintain its Australian workforce. With billions of public money going to Telstra through the NBN and other government contracts, Australians expect Telstra and the government to stand up for Aussie jobs.”

Next article – Fears over “one-punch” laws

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