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PTCL strike: imposing decisions often creates resentment

Following acceptance of their demands, PTCL workers have terminated their two-week stand-off. The strike was triggered when PTCL management attempted to introduce, what it termed, a unified pay scale without taking the employees into confidence.

The recent strike by PTCL workers holds many lessons for the corporate sector. A cardinal principle that has been highlighted by this strike is that management seldom loses by taking the employees into confidence. Hence wise managements not only keep their employees adequately informed of the company affairs, they adopt a participatory approach while deciding the issues having a bearing upon the employees or affecting their service conditions, emoluments etc. Attempts at imposing decisions often create resentment amongst the employees. Therefore, prudence demands that the management should always hold consultative sessions with the employees’ bargaining agents before formulating any policy/package concerning the service structure, working conditions or salary package of the employees.

Experience tells that even improvements in service conditions when introduced without consultations with the workers’ representatives have often evoked criticism, if not outright opposition. But, on the other hand, policies evolved with the active involvement or participation of the employees are more readily adopted and the employees display more commitment to prove the efficacy of those solutions.

Since the companies exist to earn profit, they adopt policies that serve their interests better. However, before arriving at decisions wise managements always seek suggestions or proposals from the employees, but finally adopt only those policies which further the interests of the company. Often most of the proposals/suggestions of the employees are either toned down or not accepted, but the feeling of participation in the decision-making process creates a sense of ownership about those decisions and the employees themselves become the ardent supporters or advocates of those policies.

The recent stand-off was the second major strike by the PTCL workers during the last three years. Earlier, they went on a prolonged strike in 2005 to prevent the privatisation of the company. But, that strike failed to achieve its objectives. Against the 2005 strike, though the recent one received much less public attention, but the employees achieved their objectives just within two weeks time because the management of the company was not with the public sector, but with the private sector where management subscribes to the dictum of good and efficient services not only to retain the loyalties of the existing clients, but also enroll new ones on the basis of the endorsement by the existing clients.

Since the management of companies in the corporate sector are more conscious about the quality of service and convenience of the clients, their customer-base and, in turn, profits continues to grow over time. On the other hand, the management of entities in the public sector often gives a lukewarm treatment to their workers. Since in 2005 PTCL was a public body that explains why, despite a lengthy strike, the workers could not achieve their objectives.

Given the disappointment of 2005, the likely scenario for PTCL employees struggle was to fade away slowly into the shadows. But, this time PTCL employees were lucky to have a receptive and dynamic management. Etisalat Pakistan owns 26 per cent of PTCL and its parent organisation – Etisalat is valued at US$ 38.7 billion and positioned as the 219th largest company in the world and the largest teleco in the Middle East and Africa. According to the management of this company, they are now on course for achieving their goal of becoming one of the largest operators in the world by 2010.

Since efficiency is the sole criterion for the survival and growth in the private sector, dynamic managements treat their workers like stakeholders, who flourish and rise along with the company. Hence, the managements in the private sector are generally more receptive to the demands of their workers and eager to devise policies aimed at creating a true team spirit within the organisation and taking the workers along with it in the task. Herein lies the secret for the efficiency and success of the private sector.

Furthermore, state entities in this country are highly over-staffed and very often also the models of inefficiency. After privatisation and take-over by the world’s fastest growing mobile operator - Etisalat, though PTCL is still facing the pangs of conversion from a public entity to a private body, yet its management has relented significantly to accommodate the demands of its employees. For example, despite a dramatic fall in profits due to up-gradation and modernisation of its machinery and equipment entailing heavy investment, PTCL’s new management has conceded to all the main demands of the workers, i.e. to increase the basic pay scales and also regularise all the contract workers, numbering over 8,000.

In the telecommunication domain in Pakistan, presently, PTCL is the largest converged services carrier, providing all telecommunication services from basic voice telephony to data, internet, video-conferencing and carrier services to consumers, including telecom operators, and the corporate sector all over the country.

PTCL also provides wireless telephone service to cities and most of the villages in the country. The wireless telephone service has proved to be an effective communication tool, especially in remote areas for Internet surfing and voice calls.

Earlier, PTCL’s new management expanded the range of their services, offering several lucrative and innovative packages to the consumers, including the facility of nation-wide dialing and ‘phone n’ net’ facility. Continuing with its vision of providing value-added services, PTCL has activated around 350,000 mailboxes for its landline subscribers nationwide. This service, which is free, allows call transfer on busy and no-reply response lines, connecting the caller to record a message. Further, the subscriber has a choice to transfer his call to any telephone number instead of his mailbox.

In addition, PTCL has set-up a network of responsive Customer Contact Centres, which work round-the-clock through out the year, including on holidays. It has also improved the fault rectification system and also invested $50 million in a high capacity fiber optic submarine cable to meet the growing capacity requirements in various regions of the world. To ease the process of payment, PTCL has now introduced an array of bill payment options to its customers, including through e-means.

It is not just the field of technology and development in which PTCL has excelled, it’s engagement in corporate social activities, particularly in education, health and social development, and human resource development has also increased manifold. PTCL has sponsored many schools where thousands of boys and girls receive quality education. During 2005 earthquake, PTCL sponsored a 48-bed eye hospital at Mansehra and also opened free public call offices at quake-hit areas. PTCL donated Rupees 2.5 million to SOS Children Villages as well.

In short, the company’s new products and innovative schemes promise a bright future for Pakistan’s telecommunication sector because one needs to be connected to the world, to have an eye on the world in order to see what’s happening and PTCL is committed to be the link that allows global communication.

However, even PTCL management, which considers itself to be dynamic and very efficient, committed a blunder by introducing uniform pay scales without consulting the employees. It is believed that the recent strike by the workers would have made its management wiser to the working environment in Pakistan and the management would not commit any such mistake in future.


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