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Hundreds of PCCW contract workers go on half-day strike in HK
By Channel NewsAsia's Hong Kong Correspondent Leslie Tang | Posted:
11 February 2009 0022 hrs


Hundreds of PCCW contract workers go on half-day strike in HK

HONG KONG : Hong Kong telecoms giant PCCW was hit by a strike by some 400 contract staff on Tuesday. The workers were protesting what they say is a planned 10 to 30 per cent pay cut.

Hong Kong's biggest phone operator was in the spotlight again as hundreds of angry PCCW contract workers went on a half-day strike to vent their frustrations.

The protesters claim PCCW has decided to cut the budget of contracting companies by 10 per cent, translating to a 10 to 30 per cent pay cut for staff. There are also rumours that the company is planning to lay-off up to 600 staff.

Unionist lawmakers called on the telecoms giant to support its workers, especially during the current economic downturn.

Pan Pey-Chyou, legislator, Federation of Trade Union, said: "First of all, they have to stop cutting down the payment to the contracting companies. Secondly, they have to stop sacking people, to stop laying off people. Thirdly, they as a large enterprise in Hong Kong, should show concern and should have a heart to care for the workers."

Contract staff are determined to stand their ground. They have threatened more strikes in the days and weeks ahead if PCCW does not listen to their demands.

Organisers said the half-day strike should have minimal impact on repair and maintenance services.

However, in a statement, PCCW sought to correct what it called "serious misunderstanding" of its position, denying any decision had been made about cutting contract rates.

The statement said the company merely questioned whether a 10 per cent reduction in contract rates "might be possible" during discussions with sub-contractors.

Last week, PCCW was caught up in accusations of vote rigging for a controversial US$2 billion privatisation deal which was approved by shareholders.

A shareholder-rights activist had claimed that hundreds of Fortis Insurance sales agents had been offered company stock in return for promising to vote in favour of the deal.

Hong Kong's securities regulator is now scrutinising the voting records.

The privatisation deal still needs approval from the High Court, but it could be delayed because of the investigation. - CNA/ms