Rwandatel fires 120 employees

• Gives them 24hrs to leave premises Rwandatel, one of the local telecommunications company’s, yesterday fired 120 employees in what was explained to be the restructuring of their human resource base.

Thursday, March 12, 2009

• Gives them 24hrs to leave premises

Rwandatel, one of the local telecommunications company’s, yesterday fired 120 employees in what was explained to be the restructuring of their human resource base.

The 120 employees who were retrenched out of the total 427, were given 24 hours to leave the company premises.

The development was confirmed yesterday by Cleophas Kabasiita, the company’s Public Relations Officer in a phone interview.

The move comes after Lap Green’s acquisition of 80 percent shares in the state-owned fixed and mobile phone operator and Internet Service Provider.

According to Kabasiita, Rwandatel’s customer base has grown from 20,000 to 250,000, since this acquisition in 2007 and a more qualified and competent staff is needed to offer high quality telecommunication services to the growing number of customers.

"We cannot work at the same pace that we did back then, before Lap Green took over. Now that we are using the new 3G-GSM service as well, it was necessary to carry out thorough assessment of our human resource base after which all employees who did not meet the assessment by 40 percent were laid off,” Kabasiita said.

In relation to the restructuring procedure, she explained that various examinations, which include both oral and written, were administered to all employees, adding that general assessment by supervisors was also conducted.

Kabasiita promised that the company will advertise the vacant positions with immediate effect. She however stressed that they will receive their terminal benefits as stipulated by the Labour Code.

In 2007, the Libyan government firm, Lap Green Networks signed the final agreement for its US $100 million purchase of 80 percent of Rwandatel from the Rwandan government, automatically making it the managing partners.

The other 20 percent stake remained with the Social Security Fund of Rwanda.

Rwandatel’s 3G-GSM was launched at the end of last year and since then, the company’s customer base has steadily increased.

Rwandatel had first been purchased by Terracom, a company that belonged to American businessman Greg Wailer but the government later repossessed it after the former failed to meet the standards stipulated in the buyout agreement.

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