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So cellular giant MTN has finally revealed the massive scam behind its supremely irritating Ayoba campaign: this Christmas, 500 employees will be getting job cuts in their stockings.

Ayoba, we are told, means “super-cool”. And by extension, everything about MTN is cool. What a hideous joke. There is nothing cool about hacking jobs for Christmas because CEO Phuthuma Nhleko and his overpaid executive cronies want another Land Rover or two.

The reason for the job cuts, we are told, is tough economic conditions. Puh-lease. MTN is not losing money. Their own results released in August tell us that the company’s revenues for the previous year were R57.3 billion, with shareholders pocketing a healthy R3.63 per share for their diligent efforts.

So the company is actually making a sickening amount of money. Sure, its profits may be slightly lower than in previous years. No shit. We’re in the middle of a recession. But the fact is, MTN is still coining it. In a big way. So to slash jobs when you’re making billions is just mind-bogglingly insensitive. Corporate greed is not just alive and well, but beating the living daylights out of your average employee.

I understand perfectly well that a major reason for business is to make money. But what MTN fails to grasp is the fact that the moment you hire people, and put their careers and wellbeing in your hands, you take on a far greater responsibility than purely delivering profits. You don’t commit to triple bottom-line responsibilities on the one hand, and then trash people’s careers and lives to save a few bucks on the other.

MTN’s PR lackeys tell us the company will be giving the affected employees two weeks’ pay for each year of service. Wow. With billions in profit stashed away, do you think you can spare it? That may be the legal requirement, but in truth, it’s risible. Ayoba, my sweet ass.

Unlike the 500 people who were unfortunate enough to believe that MTN is an employer of choice, Nhleko won’t be losing any sleep this Christmas. Last year, his remuneration package was in the region of R16 million. We can only speculate as to what MTN SA CEO Karel Pienaar, and the rest of his smug executive cohorts, earn. Nhleko would be sickeningly wealthy even if he earned just a quarter of his current package — and that would free up R12 million to keep 15 or 20 people in jobs. He certainly won’t be worrying how to pay his bond in February. I’m all right, Jack.

Fact is, the economic downturn reason given by MTN simply doesn’t hold water. How tight can things really be when you have tens of millions of rands hanging around to sponsor limited-overs cricket? Hell, they even sponsor professional cycling. And then there’s that supremely over-the-top Ayoba campaign, which sure as heck isn’t coming cheap.

I cannot even start to imagine the amount of money being pissed … I mean, poured into this campaign. Sure, they want to attract new customers. But their moral obligation is to look after their own people first. And I, for one, will certainly not do business with a company which thinks it’s in any way acceptable to retrench people, just before Christmas, when they are still making money hand over fist.

So every time you hear the word Ayoba, think of the 500 families who will be facing an uncertain future this Christmas while the MTN fatcats slurp Johnnie Walker Black and flaunt their millions. Now that’s Ayoba.




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55 Responses to “MTN reveals the meaning of Ayoba”

MTN are the most incompetent bunch of fools available. I hope this thing comes home to roost.

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Stephen Browne on November 25th, 2009 at 5:11 pm

The Ayoba campaign sucks and annoys me to death!
Good one MTN - I am glad I am not a subscriber…

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Cobus Fourie on November 25th, 2009 at 6:42 pm

I hope things are not simple as you make them out Peter. You article comes across as being a little too emotional, I’d like to hear all the facts before passing judgement.

If you are right and things are as clear cut as you make them out to be then you’re right…..Ayoba my voet!

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CHUMA on November 25th, 2009 at 8:13 pm

Social comments and analytics for this post…

This post was mentioned on Twitter by mgthoughtleader: MTN reveals the meaning of Ayoba http://tinyurl.com/yadpav2…

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uberVU - social comments on November 25th, 2009 at 8:13 pm

Absolutely sickening. And to think I have invested in this company :/

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Cpt Awesome on November 25th, 2009 at 10:56 pm

i think this ayoba campaign is just annoying. trust me, i’m counting the days until i can escape it.

loud annoying people on my teevee set: not ayoba.

i have, however, worked what is and what isn’t ayoba into my everyday conversation. it’s particularly fun while one watches cheaters.

in addition, being ayoba means that your clothes don’t match — on purpose.

this country has such spectacularly poor dressers

i bring up the fashion statement because on the commercial where the nerds are being “ayobized” [for lack of a better word], while the nerds indeed looked nerdy, their clothes actually matched. they come out looking … bad. [tight jean shorts that cuff just below the knee: not ayoba. really. it isn’t. god.] there is no reason that men should wear capri pants. NONE.

it could have been worse though. someone could have rocked up wearing a striped shirt, striped tie, and striped trousers, with the stripes going in three different directions, along with white socks and black shoes. [i’ve seen such abominations walking down the street in both joburg and cape town. god.]

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mundundu on November 26th, 2009 at 4:43 am

This was one Hilarious, witty and humourous article I have read in recent time. However, what you are saying about MTN (Mind you I use their cellphone number, nogal) is quite true and unimaginable.

And Frankly, it is bad timing and a bad decision too.

The salary that Nhleko earn could have saved a lot of job and then probably become the ‘telecommunication messiah’ in South African.

How about we become our people’s ‘messiah’ these days. Instead of cutting jobs, we could rather cut our salaries, maybe for a certain period - a year or two - after which it can be looked at and decided if there has been any changes and the benefits of having taken such a decision.

Ayoba my foot!!

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Akanyang Merementsi on November 26th, 2009 at 7:16 am

Well said.

But what choice do we have? Cell C, with its “send a girl child to work day” is owned by two Saudi patriarchs, and Vodacom is useless.

Corporations behave like psychopaths. They put on a charming face, called a “brand” while behind it they are completely immoral in the way they treat their employeess, their customers and the environment.

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Pongoland on November 26th, 2009 at 9:08 am

Dont be silly Peter, you need to get your facts straight. Johnny Walker Blue Label Limited edition is more appropriate. The kind that costs more than my “cosy” little townhouse.

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Mel on November 26th, 2009 at 10:49 am

How about Nhleko cutting his salary by half instead of making a lot of families suffer? MTN is so cruel and self-serving. Does a new Landrover mean more to them than the well-being of these families. I’ve been using MTN since the inception of cellphones in this country. Now I’m thinking of moving to another network. Can’t support a brand that doesn’t think of others. Ayobaa my left foot.

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KB on November 26th, 2009 at 11:08 am

Welcome to the real world. Sounds cruel but please read on for real solutions.

MTN has to answer to its share holders, some of us use its services and would not move anywhere else, others have money invested in MTN, if not directly through mutual funds, medical aids, retirement annuities, pension funds etc.

If MTN is not being efficient and not getting us the best returns on our investments we would take those business elsewhere. Our mandate is they cannot afford to be ‘overstaffed’. We consumers and investors set the rules and the playing field.

Corporations don’t have a social responsibility other than what effects their bottom line. They don’t have a conscience, they are not human but a bundle of contracts.

You cannot single out a corporation that sticks by the laws of the land, it is doing what it is meant to do, cutting costs to make money for its investors.

If you want corporations to act in a ’socially responsible’ manner you have to change the rules for all corporations so they compete on a level playing field, or look towards a social welfare state that looks after people when they lose their jobs, retirement packages and medical aids due to our extremely competative capitalist system.

Don’t blame MTN, change the system. Read Supercapitalism, Fighting for democracy in an age of big business - Robert Reich

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Cactus on November 26th, 2009 at 11:34 am

Ayoba se-voet MTN is a mafia organization . Early this year employees were reaped off from Shelf share’s allocation . First letter of allocation is far less compared to final allocation . when we asked about the matter , top dogs said ( Staff invested nothing and must be thankful for what they got ) TOP DOGS ENRICHED THEMSELVES AT THE EXPENSE OF EMPLOYEES ) Staff was supposed to be informed that executives comes 1st and leftovers will be shared to staff , we could understand . 500 employees without jobs and yet BOSSES get bonus way over millions a year . MTN has also reaped the nation on SMS COMPETITION .How much more time must be given to MTN to rob the nation ? Its time in the past 15 of their service to face strikes / boycotts , they have made billions of rands and that’s the reason they are able to give money away to athletes rather than keeping their own employees who worked hard for their surplus . Today MTN SA has created all networks across AFRICA and yet employees were paid peanuts when MTN SA was expanding its operations into AFRICA .
This is clear , the war is between MTN & GOVERNMENT yet employees are the ones to be hurt . MTN retrenchment has nothing to do with RICA / RECESSION .Please don’t kill the NATION , right now these employees have families to look after , bonds and cars to repay . Why is our government allowing MAFIA’S to operate into our FATHERS soil ?

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Hansie on November 26th, 2009 at 12:05 pm

I agree….

Tough times call for tough measures.. Someoone, anybody give me “juju’s” number. He will surely sort out this Messia called Phutuma… haaaaaaaaakkks…juju haaaaaks!!!!! C’mon Juju, lets nationalise his millions….and keep our people in their jobs

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Sasa on November 26th, 2009 at 12:16 pm

I am only with MTN for the same reason I bank with FNB - better the devil you know than the devil you don’t. I once tried to move all my bank accounts to Standard - cue rapid descent into hell; they wouldn’t even give me a debit card, let alone a credit card, despite having years of statements from FNB! Un-effing-believable.
I am about to take the plunge with Telkom though - Neotel here I come. Will it be exchanging one bunch of incompetent money-grubbing crooks for another? Probably! Do I have much of a choice? No! Now THAT’s Ayoba!

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MTN Subscriber on November 26th, 2009 at 12:18 pm

Why don’t we ever hear these rants when (black) miners are being laid off??

This tirade seems to be aimed solely at Phuthuma Nhleko and not so much MTN.

Is it because he is black?

I imagine it is because the probable majority of the 500 (skilled) employees that are being retrenched are white.

Though I sympathise with folks that have lost their jobs, lets be balanced in our opinions and views of such matters. MTN, like any other JSE listed entity is owned by its shareholders and who sole reason for owning those shares is to make profit / increse their wealth. Nhleko and Pienaar are carrying out the mandate of their shareholders, the bulk (by value) of whom are institutional investors, asset managers and the many rich individuals in this country.

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Qminati on November 26th, 2009 at 12:31 pm

We have a branch of our company in India. When told that it would be necessary to retrench, the staff in our Indian office approached management and requested that they take salary cuts instead of anyone being retrenched. Management then asked whether any senior employees, along with the directors, would agree to salary cuts here, too, in order to avoid retrenchments. As far as I know, all agreed, myself included. None of us will receive bonuses this year, either.

With the rates and electricity increases this salary cut is no joke. But I sleep better at night than I hope those earning selfishly obscene salaries do.

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Anne on November 26th, 2009 at 12:36 pm

I could not agree more. This is corporate greed at it’s ugly best. MTN should rather cut back on their sponsorhips and spare the jobs that are about to be lost. As a country we have seen enough job losses and we cannot afford anymore. It is also interesting to note that the “champions” of the working class, Cosatu are quite. They are probably busy worrying about issues in the alliance than to address the real working class issues.

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Chris on November 26th, 2009 at 12:36 pm

Let the chips fall where they may

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Pammy on November 26th, 2009 at 12:42 pm

In my pesonal experience there must be chunk of MTN’s earnings that are derived from ripping off their subscribers on excess billing from errors in their systems and their subsequent deliberate dragging-out and/or ignoring customer queries and complaints. I hope that one day the management responsible for this tactic get royally nailed.

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Thomas on November 26th, 2009 at 12:48 pm

There used to be a time when there were three groups of stakeholders in any commercial organisation: the customers, the employees and the shareholders. A well-managed enterprise balanced the (sometimes conflicting) interests of these three groups. Somehow that changed in the last 20 years. A key to that change can be read in our terminology: “People” became “(Human) Resources”…equivalent to financial resources, or mineral resources, things to be used, borrowed, acquired and disposed of. In MTN’s case, customers became “subscribers” — faceless and anonymous entities that have filled in a form that allows MTN to tap their bank accounts, or who have handed over money in advance of receiving a connection.

The network providers went even further, and put a artificial layer between them and the unwashed “subscribers” — the so-called “service providers”. In this way they would not have to deal with –”shudder” — real people.

Capitalism is dying, choking on its own bloat and inhumanity. (That is not saying that Communism is better; Communism is stupid and unworkable)

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Piet Opperman on November 26th, 2009 at 12:52 pm

Eish thats not ayoba

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Kwena Mokgohloa on November 26th, 2009 at 1:02 pm

If you’re White then the Advert is obviously not aimed at you . . . in a country with 79% population being Black - would you spend millions campaigning to ppl who won’t buy into it, NOT AYOBA! Sadly its a numbers game . . .

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sizwe on November 26th, 2009 at 1:11 pm

are you truly, truly serious that you were waiting with baited breath to be dazzled with the meaning of Ayoba! Get on with the programme, dude (as my teen daughters would say). Ayoba has been part of the Mzansi lexicon for donkeys years! The word crept into our vocab more than 10 years ago. Well, those of us of the darker hue. It’s neither Zulu or Xhosa, or Sotho… it’s just Sefficrican street lingo. Try to have your ear to the ground so you won’t be left behind. Admittedly, the Ayoba campaign was quite irritating at the beginning; it has grown on me and I laugh every time I see an ayoba ad. Pity about those jobs… thankfully i am neither an MTN investor nor subscruber so my conscience is clear. Ayoba!!!

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Fred Khumalo on November 26th, 2009 at 1:17 pm

MTN have not explained what they are doing:

1st they are moving their MTN Group function, that is everything that the WWW.MTN.COM website represents to Dubai in its entirety.

2nd there is some downsizing going on, they have not said why, but one has to guess it is to align with the size of MTN Nigeria staff complement.

3rd there is the interconnect rate cut and the requirement to keep up EBITDA % this is the most contentious, if you saw Karel Pienaar’s absolute drivel printed in the Business Day Oct 29th.

Pienaar thinks Telkom should to continue to subsidise the mobile phone operators even though they no longer own 50% of Vodacom and he thinks that smaller Cell phone market entrants which now include Telkom and Cell-C should continue to subsidise VC and MTN or “else their will be consequences” !!

If Pienaar can spend his time publishing his “MTN centric drivel” on interconnect rates, the least he can do is explain what the big picture is regarding these and future cuts.

Also cutting interconnect rates helps competition but does not in itself reduce the cost of a cell phone call as can be seen by Pienaars comment that if they cut interconnect rates and cut cell phone costs they lose revenue twice not once.

Hence I expect to see a lot more job cuts at MTN in the future, so now is the time to de-regulate and allow in the Middle East and CDMA operators.

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Abolish interconnect rates completely on November 26th, 2009 at 1:18 pm

Corporates in General (ESKOM, Vodacom, SAA & Transnet) all need to get a taste of their own medicine - USA President Obama fixed them up good & proper & if this is the situation here in SA - where exploitation is rife & No or Little social responsibility exists, then I would not mind seeing these Fat Cat CEO’s crying a river because they got taxed the living Hell out of their Golden Handshakes!

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JoJo on November 26th, 2009 at 1:39 pm

Cactus i think you are one of those crooks that everyone is complaining about,well let me tell something boet since you are an invester or since you promote this kind of practise.A customer is a king in this kind of business that you guys are in.if we as subcribers feels like not taking our money or business to criminals anymore you will still loose and be forced to invest somewhere in anyway!My advise is pray hard that those employees don’t boycott cause if they do then thats what we call AYOBA,again if you retrench anyone especialy youth please know that you touch both Julis Malema,all parties youth leagues and MADIBA.

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Gatvol on November 26th, 2009 at 2:13 pm

Sorry, but I am lost. When did those conversation move onto race? It just so happens that the CEO is black yes, and the CEO takes responsibility for the company. The truth is that the majority of the workers laid off probably are white, but that is merely a fact, and their race has nothing to do with this subject? Until the country can get off the race high horse, this country will go nowhere.

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Cpt Awesome on November 26th, 2009 at 2:35 pm

Down with CRAPitlism.

Down with communism.

Up with social democracy.

But don’t blame corporations, blame the competative free market system we allow them to operate under. Most people fume about MTN laying off workers, but will do business with them if they give better service at lower prices than the opposition, or we consumers go to whoever brings us the best deal at the best price. We are the mercenaries.

To bring about change, change the system underwhich corporations operate. Change global rules so that corporations must act in a ’socially responsible’ manner, that will then regulate our inherent greed.

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Plonked on November 26th, 2009 at 3:14 pm

Peter, your article is unfortunately yet another example of poor journalism targeted at the “business beast”. Yawn.

I am a huge supporter of free speech and investigative journalism, but yours sadly amounts to perpetuation of unsubstantiated argument, emotionalism and the complete ignorance of relevant facts.

By example:
1. Phuthuma Nhleko is the CEO of MTN Group - not the MTN South Africa that is affecting retrenchments. So this is irrelevant.

2. Let’s also reflect on the fact that a year ago, while most companies were downsizing, MTN was aggressively recruiting. Now in a maturing market combined with the pending interconnect rate reduction, the expanded size of the organisation surely needs review. Any organisation should be allowed to respond to change and review profitability and sustainability pressures.

3. 500? Please. Base your arguments on facts facts facts. Then perhaps you could engage with South Africans on an intellectual level.

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Judith on November 26th, 2009 at 3:14 pm

you can win a share of R28million in prizes with ayoba this summer ! or they can use the R28million to think up creative ways to generate work to keep the employees…

use it dont use it.

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the real slim kosie on November 26th, 2009 at 3:17 pm

Personally, I love the Ayoba campaign. It’s the first South African campaign that I have seen by any company that truly speaks of us as a nation, without trying to be something to the rest of the world. We are not trying to be understood by America, Europe or any other towering nation. It is what it is. It’s Mzansi. It’s honest. It’s raw. Well done MTN. Finally a company with guts enough to let us be South African and not in anyone’s shadow or mould.

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Judith on November 26th, 2009 at 3:17 pm

@Gatvol

My well researched view makes the rants on this comments section look as if the average reader here is pretty uninformed.

In our current capitalist free market system investors and consumers hunt around for the best deals. Boycotting a corporation (briefly) whose policy you dissapprove of does not change the system as a whole and often the corporation just finds a better way of perpetuating the same unacceptable behaviour. Improved public relations and greenwashing are a favorite corporate tool.

The crooks my good friend are those idiots who vote for the curent system that perpetuate what so you dissaprove of. Consumer and investor greed in a competative free market economy.

Only when there are national and international rules in place that force corporations to operate in a “socially responsible” manner will the system as a whole change.

As long as people incorrectly blame corporations instead of debating how the entire system must change, corporate “CRIME” which is entirely within the laws of our country under our current capitalist system will continue.

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Cactus on November 26th, 2009 at 3:34 pm

To those with colour issues, whether accusing or defending in the name of the different shades, have lost the plot on equal levels. The impact on the quality of life, future prospects, debt management, general detoriation of progressive attitude is the only aspect of the discussion that has any stake on color as it will be in the RED. These are people with responsibilities….not pawns in a fruitless scramble to compare who is worse off in the bilious fixation with the skin colors role in any tragedy or misfortune.

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Lobulawu on November 26th, 2009 at 3:50 pm

Ayoba, in the sense used by MTN, is a witty, catchy phrase. I quite like actually. I’m however not sold on Ayobaness (which suggest some kind of gender differentiation; at least that’s what I think).

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KC on November 26th, 2009 at 4:07 pm

Bunch of … ground indentations!

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Neil Parker on November 26th, 2009 at 7:26 pm

I hate MTN for a number reasons and now you’ve added another. That’s just plain disgustingly greedy. Sis MTN! I’ve lived in Parklands since 2003 and I STILL can’t get decent reception.. Everyone at my house or office who can is on vodaphone. I don’t care if Vodaphone charges more or I don’t get as nice a phone. I just want to be able to use all these friggin free minutes without having to stand at the bottom of my garden! Oh and when the police wanted to trace criminals on their network they wanted to CHARGE them.. That’s NOT ayoba!

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Olwethu on November 26th, 2009 at 7:56 pm

Hmmm. It seems, Judith, that you either already work in PR or marketing for MTN, or you fell into the cauldron of yellow Kool-Aid as a kid. The Ayoba campaign is “raw” and “honest”? That intimate knowledge of MTN’s recruiting practices? Interesting.

But let me briefly engage you intellectually to answer your points in your earlier post. For one, this is not a news report. It’s a blog. So I’m allowed - no, encouraged - to express an opinion.

Secondly, my arguments are based entirely on fact, as you would have seen if you’d read the piece in its entirety. The facts are: MTN is making pots of money, but cutting jobs. Just before Christmas. That’s not in dispute.

I am fully aware who Phuthuma Nhleko is. And how he is different from the CEO of MTN SA. I even mention Karel Pienaar. But thanks for the heads up.

As for the figure of 500 jobs - yes, I’m aware that MTN’s press releases claim something like 439. But I’ve spoken to a couple of sources within the organisation. And like your responses, it seems the press releases are a little disingenuous.

Now be a good PR, Judith, and engage the issue. In a raw and honest manner. That would be Ayoba.

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Peter van der Merwe on November 26th, 2009 at 8:24 pm

Think I may have seen something about prizes, but the ad didn’t make any impression!
If you want a shock, go to Virgin Mobile. My son is on a fantastic package with them!

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MLH on November 26th, 2009 at 9:32 pm

Lets start with abandoning quarterly and annual results…all investors are paid dividends every 2nd year. Introduce legislation that encourages long-term thinking. The current market model encourages short-term thinking (quarterly results, which leads to drastic employee custs, outsourcing, reckless risk-taking and disregard for decisions that consider long-term impact.

One the primary reasons that financial markets collapsed is because of reckless risk-taking (using other peoples money), short-term reward and minimal legislation.

Corporates are like a horny teenager with a credit card - excited by the power and the sense of immediate gratification, but with no concept of the responsibilities and the consequences of misuse.

Cactus has a point - change the system.

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Brad-in-Melbourne on November 27th, 2009 at 12:06 am

You didn’t do your research.
I applaud MTN SA for announcing now that they foresee trouble, just before the festive season so that employees don’t go crazy and stretch themselves, only to be told in Feb that there is trouble.

Note: All employees you lose their jobs will be paid in full until 31 March 2010. MTN have not contravened any LRA stipulation.

Isn’t it interesting that other telco’s are retrenching and you fail to make a comparison…Vodacom is retrenching 2000 Ericsson is retrenching Telkom is retrenching 4000….and you choose to think that it not a sign of the times and MTN is on its own mission? (eish dis guy, o ngwana mang he?) MTN SA is retrenching and the revenues you are referring to (which are grossly inaccurate) are for MTN Group…Group meaning all MTN operations. Thus, creating a very inaccurate picture, (o sele). MTN SA is not profitable in the long haul as is, and has adopted an aggressive initiative to get rid of inefficiencies (caused by historic duplications and introduction of new technologies.

Get off Phuthuma, he is respected by his peers (as affirmed by the Sunday Times Award) and by his employees… and achieved remarkable milestones in under two decades for any company in the world….got that….not SA but the world and HAS MADE A COMPELLING DIFFERNCE TO THE COMMUNITIES THEY OPERATE IN, through social entrepreneurship initiatives.

Ayoba MTN! Viva la MTN! Good luck and God Bless Africa!!!

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Keagile MATI - Pantsula on November 27th, 2009 at 9:24 am

@ Plonked

Am I understanding you corerctly?

We are inherently greedy?
We are the mercenaries?
We must then create legislation forcing corporations to act in a socially responsible manner?

Surely if we are the mercenaries we should should change our own behaviour? I guess it is easier to legislate against a corporate than take responsibility for your own actions and make your own ethical decisions.

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Fred on November 27th, 2009 at 9:44 am

The AYOBA crap is as irritating as nails scraping on a blackboard. Makes me wish I wasn’t a MTN subscriber …

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Petro Borchard on November 27th, 2009 at 9:58 am

Qminati: Really this is not about race. It’s about jobs (besides, the majority of the people who stand to lose their jobs are black-check your facts before getting emotional). It’s obscene how much some people are earning whilst so many are poor. What are Nhleko’s credentials anyway?
I’m moving on to Vodacom today because I’m sicked by so much insensitivity.

@Fred Khumal; you’re right. My husband’s first language is isiXhosa and he says that “Ayoba” is Jo’burg lingo and that he used to think that all Jo’burg folk were really cool back in the day while they thought he was “unolali” and therefore uncool so I also think it’s cool but MTN is not cool.
Ayoba! Hola seven!

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Phillipa Lipinski on November 27th, 2009 at 10:57 am

@Fred

Good points. Yes we consumers and investors are greedy and mercenry and research shows that given a choice we will normally look after our own best interests first. But many of us also have an ethical socially responsible side as seen on this blog.

We want the best deal as an investor/consumer but we also want big business to be ethical and socially responsible. We have a dual nature.

Once we recognise the problem (i.e. don’t blame the corporation) we will hopefully be inspired to globally regulate how corporations operate, it may cost us a little in not getting the very cheapest product, or not the highest return on our investment in shares or medical aids or pension fund returns, but we maintain a balance between corporate competition and efficiency, and socially responsible corporations.

Our dual nature has then been satified, shopping around for good deals and “socially responsible” corporations at a very small cost to us.

The most important point is to realise corporations do not have a conscience, they are a bundle of contracts, i.e. cut staff to reduce costs, don’t worry about the environment as long as they are making the best returns for their investors and giving consumers the best deal. Its legal, nothing wrong with that. Their contractual obligations include abiding by the laws of the land. We need to change the laws of the land/planet to include what we regard as “corporate social responsibility”.

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Plonked on November 27th, 2009 at 11:48 am

Obviously retrenchment is not Ayoba easpecially at this time of the year… but this aside I think this advert is fun and i quite like going around figuring out whats ayoba..but then again one man’s ayoba is another man’s nails on a chalkboard.

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Ayobaness on November 27th, 2009 at 12:13 pm

@ Peter VDM

The fact is that RICA and the lowering of interconnect rates have damaged profitability and in order to meet the targets set by the MTN board and its shareholders, it has become necessary to cut costs wherever possible. Remember that these are laws imposed by the South African Government.
No mention is made here about the retrenchments at VC ( 4 times the number of retrenchments) or Cell C! The retrenchment packages offered (2 weeks for compulsory and 3 weeks for voluntary retrenchment) are far above industry standards – the norm is only one week, and these staff will be employed until March next year.
Why are other big corporate companies (Telkom trying to cut 4000 jobs) not getting the same bad press as MTN when they retrench? We are all affected by the global economic crisis, but the cellular industry has also had to deal with RICA and Interconnect issues.

Please remember this next time you get hormonal about MTN.

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Worker on November 27th, 2009 at 12:48 pm

Peter van der Merwe –
How right you are!
Spot on with such a hard hitting factual article!
But the sad thing is that this is not a unique situation. Most big corporates sacrifice the workers on the altar of shareholder satisfaction.
In MTN’s case they make money in spite of themselves. Not through solid business processes and systems but by throwing huge amounts of marketing money at the world.
My own big brother company makes profits for its shareholders but we have not seen an increase globally in a number of years.

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Colin Drew on November 27th, 2009 at 2:24 pm

@Colin

“Most big corporates sacrifice the workers on the altar of shareholder satisfaction.”

Do you not have any shares? Would you invest in a corporation that could eventually make a loss because it is being socially responsible or would you take your money to where it gets a better return?

If you do not own shares directly, do you have a medical aid, pension fund, belong to a trade union that invests in the JSE? If your pension fund does not produce the goods by investing your money prudently for your retirement would you not change pension funds?

Under the current laws we force corporations to sacrifice workets on the alter of profit.

What are the options:

Should all corporations pay into a slush fund to retrain workers when they become redundant?

Should we move towards a social welfare state with generous unemployemnt benefits?

I believe we need to debate solutions rather than moan and state the obvious.

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Plonked on November 28th, 2009 at 10:52 am

[…] This post was Twitted by innov8ive […]

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Twitted by innov8ive on November 28th, 2009 at 8:21 pm

Whew, interesting and a range of comments. But worth remembering that MTN operates part of what is essentially a monopoly (duopoly etc) granted by the government in exchange for a massive bribe called the licence fee. Investors and management love such things, just look at the profits from a captive market. Open, clear, fair etc competition would clean everything out. Only sustainble jobs would remain.

(Report abuse)

sid on November 30th, 2009 at 7:39 am

I can see that this is AYOBA … !!!! Ayoba yohh,Ayoba,Yoba yohh

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Ayoba yohhhh on November 30th, 2009 at 4:46 pm

Ayoba my arse!

It is such an overstated and annoying ad! Thank Goodness i am not an MTN subscriber! I hope the CEOS rot!

(Report abuse)

tansy on December 23rd, 2009 at 1:29 pm

you are right, the retrenchment is not fair but why are you only talking about MTN? what about Vodafone aka Vodacom? is it because MTN is South African and Vodacom is European?

(Report abuse)

vuyisa on December 27th, 2009 at 8:28 am

MTN offered me 1000 loyalty points to change to a more expensive price plan. (They said that they were going to terminate the price plan that I was on at the time). I complied, then they told me to register on 141 by providing them with my id number. I complied again. Now, MTN are refusing to provide me with the loyalty points. I have complained, but to no avail. They seem to think that soliciting my cooperation by means of false advertising is acceptable practice.

I am disgusted by their conduct and the level of inconvenience that they have subjected me to during my attempts to get this matter resolved.

A call centre staff member told me that I am not the only one who has been misled by MTN in this exact same manner.

I am motivated to take MTN on in this regard and I request that all subscribers who have a voice, please let it be heard. Turn to the internet and type out your complaints to encourage others who think that they are the only victims.

IN UNITY, lies STRENGHT! COME on South Africans, let’s unite and force MTN to take responsibility for their actions.

I am willing to use the evidence that I have retained against MTN. This is no longer just about loyalty points. MTN, we have rights and we are going to stand up for those rights.

Anybody who wishes to write an article about this topic, may contact me.

(Report abuse)

Johnny on January 26th, 2010 at 10:56 am

With reference to my comment earlier this morning, here is one example of an SMS that I received from MTN:

“Ayoba, please note that when you move to the MTN Zone price plan your 1000 loyalty points will be loaded within 7 days.”

I received the aforementioned sms in November 2009. I have received similar correspondence from MTN since then.

If MTN are going to use “Ayoba” as a slogan, then I suggest that the management at MTN do some research to learn the various meanings and interpretations of “Ayoba”

“Ayoba” apparently also means “for sure” or “for real” or “agreement”, as depicted on the WikiAnswers website.

So MTN, you subject us to your advertising “for sure” and you offer incentives that you claim are “for real”, but then you breach the “agreement”, and now you want us to believe that you are an ambassador for “Ayoba”. How “uncool” is that?

“Ayoba” can also mean “proactive” and “it drives a call to action”. With that in mind, it is going to take plenty “Ayoba” to get MTN to pay attention and correct their wrongs, but in the long run, it will be worth it.

The ball is now in your (the reader’s) court, you can either play it, or do nothing and expect nothing.

MTN and “the like”, will continue to betray our trust and abuse their position, until we the victims act on the realization that no corporation can withstand the might of a united “voice/people”.

(Report abuse)

Johnny on January 26th, 2010 at 11:47 am

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Peter van der Merwe is a writer, journalist, inveterate media junkie and a keen student of people and how they see the world. He spends too much time feeding the belly of the corporate beast and too little time sitting in coffee shops, watching the world go by.
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