Yunus Carrim, South Africa’s communications minister, has pledged to explore ways to create “a more enabling environment” for them to work with Telkom after meeting its Group CEO Sipho Maseko.
Carrim, who replaced Dina Pule earlier this month, met with Maseko and Telkom chairman Jabu Mabuza earlier today and in a statement published afterwards said it was important as a major shareholder in Telkom, the government kept a close eye on the fixed line provider’s strategy and performance.
The government retains a 39.8 per cent stake in Telkom, making it the biggest shareholder, and the minister said: “While we respect the fact that Telkom is a listed company, as a majority shareholder, it is important that we engage the executive leadership of the company from time to time around its strategy going forward and its turnaround.”
Telkom has been through a rollercoaster 2013 so far and is currently in the middle of negotiations with three unions over proposed wage increases.
Earlier this month the Competition Tribunal rubber stamped Telkom’s settlement with the Competition Commission which included a ZAR200 million (US$20 million) fine and the promise to separate its wholesale and business operations.
Carrim added: “Telkom remains a major strategic asset for the country. We want to create a more enabling environment for us to work together.”
Telkom’s Mabuza said: “We have found common ground for service delivery. We look forward to seeing the minister at our Annual General Meeting.”
