Corporate News
Postal Corporation sacks hundreds of striking workers
Postal Corporation of Kenya (PCK) has sacked hundreds of striking workers on claims that the court had ruled that the industrial action was illegal. Photo/ANTHONY KAMAU
Posted Monday, December 19 2011 at 19:43
Postal Corporation of Kenya (PCK) has sacked hundreds of striking workers on claims that the court had ruled that the industrial action was illegal.
The state-owned firm has given the workers four weeks to appeal against the sacking order as postal services remained paralysed for the second day.
The workers are demanding a 30 per cent pay rise, but the company has offered them a five per cent increment on the strength that it’s facing lean times due to stiff competition from players using modern technology to deliver information and money.
Post Master General Hussein Ali maintains that the strike is illegal and on Sunday warned the striking workers risked losing their jobs for going against court orders—a threat that has come to pass.
“Decision has therefore been made to summarily dismiss you from service with immediate effect,” said one of the dismal letters seen by the Business Daily.
“As per the provisions of Posta code, you have a right to appeal within four weeks upon the receipt of this letter. Any appeal received after the expiry of the stipulated period will not be considered,” it read.
A spot check by the Business Daily revealed that postal boxes around the Nairobi’s central business district were not emptied and ordinary post not delivered, inconveniencing customers.
The strike could see PCK lose a huge chunk of its revenues as it coincides with the end of the month and festivity season when the corporation handles gifts, utility bill payments and client’s financial statements.
On Monday, the Communication Workers Union (Cowu) said they will not be intimidated by sackings, arguing that PCK’s management has refused to negotiate with the workers.
“We have reached this juncture after all our efforts to open talks failed,” said Benson Okwaro, secretary-general of the workers union.
The state-owned company, with about 4,000 employees on its payroll— is struggling to remain afloat in a cutthroat competition environment dominated by technological advancement.
It is also weighed down by millions of shillings in debt to pensioners and other creditors.
The corporation sacked 400 workers early in the year as part of a restructuring plan aimed at pushing it back to profitability and cut wastage. The union has about 3, 000 members drawn from PCK.
The spat between the postal firm and its workers comes as Kenya is witnessing increased industrial action as employers press for more wages to compensation high inflation currently running at 19.72 per cent up from 5.45 per cent in January.
PCK with its 700 branches across the country has market share estimated at between 40 per cent and 50 per cent, yet it enjoyed monopoly status 13 years ago before the liberalisation of the telecoms and communication market in 1998.
Instant messaging, PDFs and e-mails as well as growth in Internet usage, for example, has made the art of letter-writing seem downright quaint .




RSS