Call to back TOT/CAT plan

The meeting came after the TOT and CAT Telecom labour unions opposed the consolidation plan over concerns about its impacts on benefits and future job security as well as competitiveness.
Surapong and TOT president Monchai Noosong made a strong effort to convince the employees that the consolidation would be the best option to strengthen TOT for the long term without the government’s financial support.
The State Enterprise Policy Commission, or “superboard”, recently approved in principle proposals on the consolidation of the telecom agencies’ three core businesses to establish National Broadband Network Co (NBN), Neutral Gateway Network Co (NGN) and Internet Data Centre Co (IDC).
“Prime Minister Prayut Chan-o-cha has the intention to preserve TOT. After consideration, the government eventually ended up with the consolidation of TOT and CAT. The government has more than a year [left in its] term, so we need greater cooperation and awareness of the employees,” Surapong said.
He pointed out that earlier, the government had supported TOT in various projects. It approved TOT taking responsibility for constructing an underground transmission system, and grouping all telecom and broadcasting cables into a single platform. TOT estimated that the underground platform would generate at least Bt1 billion in revenue per year after the construction was completed.
The government also ordered TOT to build a Bt15-billion national broadband network connecting 30,000 villages nationwide, which will be funded by the Information and Communications Technology Ministry.
Moreover, the government has asked the agency to seek a strategic partner for the development of its 2.3-gigahertz spectrum to provide a platform for fourth-generation wireless service.
Surapong said that if TOT did not change anything, it would suffer a massive loss of up to Bt14 billion this year compared with Bt8 billion last year.
Monchai yesterday informed the employees that in the first half of 2016, TOT recorded consolidated revenue of Bt12.45 billion, lower than the target of Bt18.13 billion. Its mobile-phone business unit showed a sharp drop from a target of Bt2.8 billion to only Bt144 million, while telecom infrastructure business generated Bt280 million compared with a target of Bt350 million, and telecom poles generated Bt198 million against a target o Bt1.68 billion.
TOT has announced an early-retirement programme from July 15 to August 15, aiming to cut 3,000 staff. Last year 900 employees joined the first programme.