Union sells shareholder culture to staff

THE general secretary of the Communications Workers Union, Mr David Begg, is to begin a six week "roadshow" today to explain …

THE general secretary of the Communications Workers Union, Mr David Begg, is to begin a six week "roadshow" today to explain the employee share ownership concept (ESOPS) to thousands of Telecom workers.

Mr Begg is hoping to address as many as possible of the company's 11,500 employees during the 15 meetings.

Now that the Government has agreed in principle to sell more than the originally intended 5 per cent stake to staff, Mr Begg said, he wanted to give members a more comprehensive understanding of the employee ownership concept.

The union is hoping that up to 14 per cent of the company may be sold to staff. The changes needed in the company could not be implemented without the staff being given a stake in the company, Mr Begg said.

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"It will create an environment of genuine participation and partnership with management, where staff can feel that whatever contribution they make will ultimately come back to them through increased shareholder value," he added.

The union is also pressing the Government to increase worker representation on the 12 member board. The Government has decided to cut worker representation from four to two, but the union wants a further worker substitute director and a director nominated by the Employee Benefit Trust, on behalf of the employee shareholders.

It is hoped that consultants engaged by the union will have completed a proposal by the end of this month, which can then be put to the Government and the company.

"There seems to be broad agreement on it [ESOPS]. What needs to be worked out is the percentage of the company [to be sold to workers], what would be paid for it, and how it would be paid for," said Mr Begg.

The union believes the changes needed in Telecom Eireann are impossible within the existing industrial relations framework.

Colm Keena

Colm Keena

Colm Keena is an Irish Times journalist. He was previously legal-affairs correspondent and public-affairs correspondent