Close Menu
TechCentralTechCentral

    Subscribe to the newsletter

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Facebook X (Twitter) YouTube LinkedIn
    WhatsApp Facebook X (Twitter) LinkedIn YouTube
    TechCentralTechCentral
    • News

      ‘Oh, Ani!’: Elon’s edgy bot stirs ethical storm

      18 July 2025

      Trump U-turn on Nvidia spurs talk of grand bargain with China

      18 July 2025

      Netflix premieres first AI-generated scene

      18 July 2025

      MultiChoice: We can’t afford to compete without help

      17 July 2025

      The internet’s weakest link is under the ocean

      17 July 2025
    • World

      Grok 4 arrives with bold claims and fresh controversy

      10 July 2025

      Samsung’s bet on folding phones faces major test

      10 July 2025

      Bitcoin pushes higher into record territory

      10 July 2025

      OpenAI to launch web browser in direct challenge to Google Chrome

      10 July 2025

      Cupertino vs Brussels: Apple challenges Big Tech crackdown

      7 July 2025
    • In-depth

      The 1940s visionary who imagined the Information Age

      14 July 2025

      MultiChoice is working on a wholesale overhaul of DStv

      10 July 2025

      Siemens is battling Big Tech for AI supremacy in factories

      24 June 2025

      The algorithm will sing now: why musicians should be worried about AI

      20 June 2025

      Meta bets $72-billion on AI – and investors love it

      17 June 2025
    • TCS

      TCS+ | Samsung unveils significant new safety feature for Galaxy A-series phones

      16 July 2025

      TCS+ | MVNX on the opportunities in South Africa’s booming MVNO market

      11 July 2025

      TCS | Connecting Saffas – Renier Lombard on The Lekker Network

      7 July 2025

      TechCentral Nexus S0E4: Takealot’s big Post Office jobs plan

      4 July 2025

      TCS | Tech, townships and tenacity: Spar’s plan to win with Spar2U

      3 July 2025
    • Opinion

      A smarter approach to digital transformation in ICT distribution

      15 July 2025

      In defence of equity alternatives for BEE

      30 June 2025

      E-commerce in ICT distribution: enabler or disruptor?

      30 June 2025

      South Africa pioneered drone laws a decade ago – now it must catch up

      17 June 2025

      AI and the future of ICT distribution

      16 June 2025
    • Company Hubs
      • Africa Data Centres
      • AfriGIS
      • Altron Digital Business
      • Altron Document Solutions
      • Altron Group
      • Arctic Wolf
      • AvertITD
      • Braintree
      • CallMiner
      • CambriLearn
      • CYBER1 Solutions
      • Digicloud Africa
      • Digimune
      • Domains.co.za
      • ESET
      • Euphoria Telecom
      • Incredible Business
      • iONLINE
      • Iris Network Systems
      • LSD Open
      • NEC XON
      • Network Platforms
      • Next DLP
      • Ovations
      • Paracon
      • Paratus
      • Q-KON
      • SevenC
      • SkyWire
      • Solid8 Technologies
      • Telit Cinterion
      • Tenable
      • Vertiv
      • Videri Digital
      • Wipro
      • Workday
    • Sections
      • AI and machine learning
      • Banking
      • Broadcasting and Media
      • Cloud services
      • Contact centres and CX
      • Cryptocurrencies
      • Education and skills
      • Electronics and hardware
      • Energy and sustainability
      • Enterprise software
      • Fintech
      • Information security
      • Internet and connectivity
      • Internet of Things
      • Investment
      • IT services
      • Lifestyle
      • Motoring
      • Public sector
      • Retail and e-commerce
      • Science
      • SMEs and start-ups
      • Social media
      • Talent and leadership
      • Telecoms
    • Events
    • Advertise
    TechCentralTechCentral
    Home » News » What Telkom’s top brass earns

    What Telkom’s top brass earns

    By Agency Staff27 July 2015
    Twitter LinkedIn Facebook WhatsApp Email Telegram Copy Link
    News Alerts
    WhatsApp
    Sipho Maseko
    Sipho Maseko

    Executives at Telkom are taking home higher pay, while its lower level employees face job cuts and possible salary freezes.

    For the financial year to 31 March 2015, CEO Sipho Maseko’s total remuneration jumped to R12,3m from R11,7m in 2014, according to Telkom’s 2015 annual report. This means Maseko earned more than Vodacom CEO Shameel Joosub, who took home R10,9m in total remuneration for the same period, according to Vodacom’s annual report for 2015.

    Breaking down Maseko’s 2015 remuneration further, the Telkom annual report explains that he earned R7m as a guaranteed package, R5,2m as part of short-term incentive or bonus pay and R11 994 in fringe and other benefits.

    Meanwhile, Maseko has also been awarded R5,2m in shares at Telkom since 2013, according to the report.

    The report further indicates that Telkom’s new chief financial officer Deon Fredericks received total remuneration of R8,6m for the year ending March 2015. Broken down, Fredericks earned a R4,2m guaranteed package, R3,2m as a short-term incentive and R1,1m in fringe and other benefits.

    Telkom’s former CFO Jacque Schindehütte — who was suspended in October 2013 and then stepped down in August 2014 — earned R18,8m for the period ending 2015, more than Maseko.

    In a note on the report, Telkom said that Schindehütte received a short-term incentive payment of R1,2m for the 2014 financial year, while his long-term incentive payments for both 2014 and 2015 amounted to R10,3m. Schindehütte also earned payment for 25 accrued leave days of R656 181.

    In addition, another eight nonexecutive directors at Telkom took home more pay during the 2015 financial year when compared to 2014. Telkom chairman Jabu Mabuza earned total remuneration of R1,5m, higher than the R1,4m he received in 2014.

    Overall, total remuneration to nonexecutive Telkom directors increased from R8,6m to R8,7m.

    The increase in Telkom executives’ pay has come amid stronger revenues at the company.

    According to Telkom’s financial results for the period ending March 2015, the company’s net revenue increased by 3,1% during the period to R26bn. The company further added that its group operating revenue increased by 1,2% to R31,6bn, up from R31,2bn for the year ending March 2014.

    Telkom also reinstated its dividend while the company’s share price has surged past the R50 mark in the last two years.

    However, Telkom has also been engaging in cost-cutting measures amid its core fixed-line voice revenues having decreased by 13,5% during the 2015 financial year, to R6,8bn from R7,9bn in March 2014.

    “We have taken out quite a lot of inefficiency, which is reflected in the 5,2% reduction in real terms in our operating costs,” said Telkom CEO Sipho Maseko in the annual report.

    Telkom’s big plan to reduce costs further lies in its intention to axe over 4 000 jobs and outsource over 3 000 employees as part of an enterprise development plan.

    The planned job cuts, though, were dealt a blow earlier this month when the Johannesburg labour court ordered Telkom to halt its section 189 process which deals with planned retrenchments at the company. The judgment was handed down after trade union Solidarity brought the matter to court.

    The court ordered that Telkom needs to consult further with unions, such as Solidarity, before going ahead with the move.

    Subsequently, on 13 July, Telkom said that in the meantime it is looking for alternatives ways to reduce labour costs, some of which include offering all non-union workers voluntary severance packages or early retirement.

    The company is also said to be considering implementing a wage freeze, a shorter working week and outsourcing more functions, according to a Reuters report.  — Fin24

    • See also: Telkom paid ex-CFO Schindehütte R18,8m


    Deon Fredericks Jacques Schindehutte Sipho Maseko Telkom
    Subscribe to TechCentral Subscribe to TechCentral
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email Copy Link
    Previous ArticleMWeb chops ADSL, fibre prices
    Next Article Tech alone won’t solve SA education woes

    Related Posts

    South Africa’s telcos battle to monetise 5G as 4G suffices for most

    15 July 2025

    Listed: All the MVNOs in South Africa – 2025 edition

    19 June 2025

    MTN CEO edges Vodacom rival in pay stakes – but just barely

    18 June 2025
    Company News

    Vertiv to acquire custom rack solutions manufacturer

    18 July 2025

    SA businesses embrace gen AI – but strategy and skills are lagging

    17 July 2025

    Ransomware in South Africa: the human factor behind the growing crisis

    16 July 2025
    Opinion

    A smarter approach to digital transformation in ICT distribution

    15 July 2025

    In defence of equity alternatives for BEE

    30 June 2025

    E-commerce in ICT distribution: enabler or disruptor?

    30 June 2025

    Subscribe to Updates

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    © 2009 - 2025 NewsCentral Media

    Type above and press Enter to search. Press Esc to cancel.