TOT to ask 3,500 employees to retire early in order to retrench

[webfact]

TOT to ask 3,500 employees to retire early in order to retrench

BANGKOK, 7 April 2015, (NNT) - TOT (Public) Company's executive board has approved of an early retirement plan for up to 3,500 of its senior employees in 2015 - 2016. The program will cost the company 6 billion baht to implement.

The company currently has 16,500 employees on its payroll. TOT has assigned its executives to look into the details of the scheme before proposing it to the board tomorrow.

Initially, certain terms and conditions of the plan have yet to be clarified, such as those who choose to join the retire plan cannot be rehired in future by companies under the TOT network, the minimum number of employees each department needs to maintain, those eligible must be 45 years old of age and have been with the TOT for at least 15 years, and those who join the plan would receive compensation worth 35-40 times their final salaries.

According to the company, the scheme is aimed at reducing its workforce size and cutting costs. It also expressed concern that the management would resort to more outsourcing, which would render the plan fruitless.


-- NNT 2015-04-07

[Anthony5]

How about spending the money, earmarked for the aerly retirement scheme, on equipment and materials?

That way the employees have a job to do and money flows in from new customers that are now for decades derived of an internet connection because "no cable in your area, Dslam full sir".

[LannaGuy]

"worth 35-40 times their final salaries"

meaning paying them 35 to 40 years salary? or months?

[JOC]

TOT to ask 3,500 employees to retire early in order to retrench

I always spilled my coffee, I thought the headline said "TAT to ask......................................."

[JOC]

3500 asked to retire early from TOT

5000 asked to retire early from THAI

This country is slowly but surely going down the drain................

Not even the daily messages from the Ministry of Propaganda can change that!!

[worgeordie]

I hope they get rid of the ones that sit there throttling

my Internet

regards Worgeordie

[SABloke]

You just have to look at the Thai HQ on Wiphawadi Rd to see where the money gets wasted. It's a colossal compound. What are the thousands of people in there doing? How much of their work is directly related to air travel operations?

On a related note: My wife's colleague's dad works for Thai. He (the son) receives a 50% discount on ALL his travel until the age of 25 ???

[realfunster]

3500 asked to retire early from TOT

5000 asked to retire early from THAI

This country is slowly but surely going down the drain................

Not even the daily messages from the Ministry of Propaganda can change that!!

Well, that's one way of looking at it JOC.

Another might be that the public sector in Thailand is coming to terms with the fact that the country can no longer continue to carry so much dead weight and they need to become more efficient in performing their work.

However, it is not exactly rocket-science management to simply cut jobs/employees, perhaps a more progressive approach (for the likes of Thai Airways at least, for example) would be to improve services, revenues and profitability by other means.

Personally, I wouldn't mind seeing a wave of privatisations in Thailand, which I am confident would lead to improved dynamism, transparency, competency and efficiency. From personal experience, I also believe that top-heavy Government/State Enterprise control contributes significantly to Thailand's corruption problems, reduction of the sphere of influence of such bodies would certainly assist in tackling this.

Of course, one of the the main challenges with all of this will be to ensure that sufficient private sector jobs are available for the future generations coming through, assuming hundreds of thousands of government jobs could disappear, if this current trend continues.

[toybits]

I sense a great disturbance in the Force.

[SABloke]

You just have to look at the Thai HQ on Wiphawadi Rd to see where the money gets wasted. It's a colossal compound. What are the thousands of people in there doing? How much of their work is directly related to air travel operations?

On a related note: My wife's colleague's dad works for Thai. He (the son) receives a 50% discount on ALL his travel until the age of 25 ???

My eyes failed me this morning

[CWMcMurray]

Got another great idea for gov cost savings...

Eliminate all of the (what I presume to be thousands or tens of thousands) of 'inactive positions' in the government

It seems that a good place to start cutting jobs is when it is clear that the employed person has no real job activity to do...

[toybits]

Got another great idea for gov cost savings...

Eliminate all of the (what I presume to be thousands or tens of thousands) of 'inactive positions' in the government

It seems that a good place to start cutting jobs is when it is clear that the employed person has no real job activity to do...

It is a good way of creating vacancies for all those relatives... but that is just something someone said.

[Oziex1]

3500 asked to retire early from TOT

5000 asked to retire early from THAI

This country is slowly but surely going down the drain................

Not even the daily messages from the Ministry of Propaganda can change that!!

Deadwood there's a lot of it around.

[monkeycountry]

TOT, THAI and other government owned Thai companies are the least efficient companies in Thailand, and would have gone bankrupt long ago if they were not subsidiced by the government. Further, the fact that they do not have to worry about their performance, their competition nor customer satisfaction, means both performance and customer service levels are usually very low.

The best thing to do would be to close them, and let private companies fill the gab and absorb many of their staff.

[angiolo]

Is that DEADWOOD that is burning ? It will all go up in smoke,,,,,,,,,,,,,,,,,,,,,,,,,,

[Lupatria]

The change of one single alphabetic character would make it to thousands “likes”

I take an A and would like to solve.

[wotsdermatter]

Why are they "ASKING" 3,500 employees to retire? That is similar to Thai Airways do something along those lines. The resulting payouts will amount to the same as the annual salary payments, without any benefits being seen. Just tell them to leave, but that is nothing to do with Thainess, or Thai business culture. Ex-pats, go home and leave them to do what is Thai so they can just keep on being and doing what they do best - being Thai and believing they are the superior race.

[cocopops]

Why are they "ASKING" 3,500 employees to retire? That is similar to Thai Airways do something along those lines. The resulting payouts will amount to the same as the annual salary payments, without any benefits being seen. Just tell them to leave, but that is nothing to do with Thainess, or Thai business culture. Ex-pats, go home and leave them to do what is Thai so they can just keep on being and doing what they do best - being Thai and believing they are the superior race.

Presumably because the redundancy payments required by law would be higher than the package they're offering.

[Beetlejuice]

Everywhere I travel in Thailand, stores, service operators, banks and so on, always seen to be greatly over staffed. In many of the big stores, at times appear to have more staff than customers.

The times they are a changing, the world is becoming much more competitive for young people and the older employees can find themselves on the scrape heap once they reach over 35. It`s the old marketing strategy that began 20 years ago, more for less. Today companies want 18 to 20 something year old employees with 50 years work experience, on school leaver wages

I can remember warning family and friends 30 years ago that things are going to get a lot tougher once computer technology really starts hitting the fan and I was right.

[Paul Henry]

It looks like that TOT have not heard about the big surge in tourism after the lifting of marshal law.

[BSJ]

It's hard to believe Royal Thai would be considering staff cuts when a surge in tourist numbers is just around the corner! Er, sorry the surge people are heading for airlines that have better planes, cheaper tickets, better inflight service and nicer inflight staff......

[jamesjohnsonthird]

You just have to look at the Thai HQ on Wiphawadi Rd to see where the money gets wasted. It's a colossal compound. What are the thousands of people in there doing? How much of their work is directly related to air travel operations?

On a related note: My wife's colleague's dad works for Thai. He (the son) receives a 50% discount on ALL his travel until the age of 25 ???

These state run companies are pilfered by the management.

The shareholders of Thai Air pay 200,000,0000baht a year to service an elites private Boeing and don't even know it.

[wabothai]

Early retirement does not sound too bad., chance for double income.

It really is time to look more serious at labor cost.

I just look at Home Pro and Watsadu and shake my head.

[colinneil]

TOT trying to save money !!! what a joke.

3 years ago when i lived in Mae hong son. TOTheld the annual employee games, for staff from as far as Chiang rai.

I was at the entrance to the field, pickups/ vans cars all with TOT logo, hundreds of them everyone had only a driver, no passengers.

Employees were travelling hundreds of kilomiters alone.

The money wasted in fuel must have been astrolomical.

Surely a boss some where should have said 4/5 people per vehicle to save money.

[jamesjohnsonthird]

Everywhere I travel in Thailand, stores, service operators, banks and so on, always seen to be greatly over staffed. In many of the big stores, at times appear to have more staff than customers.

The times they are a changing, the world is becoming much more competitive for young people and the older employees can find themselves on the scrape heap once they reach over 35. It`s the old marketing strategy that began 20 years ago, more for less. Today companies want 18 to 20 something year old employees with 50 years work experience, on school leaver wages

I can remember warning family and friends 30 years ago that things are going to get a lot tougher once computer technology really starts hitting the fan and I was right.

They over staff because 30% will quit on payday, 40% are busy playing with their phone, and the 20% that attempt to work go 2 steps forward and 3 steps back.

The 10% that are on the ball are working their way up to management so they can rob the place.