Private mobile phone operator Banglalink is laying off 468 employees today as part of a major overhaul to “build a digital organisation to carry out its digital vision.”
It announced the Voluntary Separation Scheme (VSS) last month. Sources claimed the management had told employees to apply for VSS and warned that some of them would lose jobs otherwise. Many applied, fearing they would be sacked and denied VSS benefits.
Bangladesh’s second-largest mobile operator Banglalink, a subsidiary of Netherlands-based VimpelCom Ltd, has over 32 million subscribers. It locked horns with employees after sacking an engineer on February 10. Several days later, it temporarily shut its headquarters and regional offices as agitation continued.
On February 23, Chief Commercial Officer Shihab Ahmed announced job cuts “to realise Banglalink’s vision to become a digitally savvy company”. He said not applying for VSS meant if the employee was sacked he would not receive its benefits.
Managing Director and CEO Erik Aas said he believed they would “set up Banglalink for success to become a digital service provider for our customers, and help the government achieve a Digital Bangladesh by 2021.”
He said those unable to keep up with digital changes would have to leave.
The VSS scheme offers 24 months salary to permanent employees of level 18-27; 28 months salary to level 14-17; and 30 months salary to level 3-13.
By the February 29 deadline, 468 employees applied for VSS and 28 others went for it later. “Accepting overdue applications hints that Banglalink will cut more jobs,” a source said. The PR department declined comment.
Employees Union General Secretary Bakhtiar Hossain said they would not force decisions on members. “They should consult colleagues, friends and families. Employee will get all facilities protected by the law.”
