Tous Actualités
Suivre
Abonner Telekom Austria AG

Telekom Austria AG

EANS-Adhoc: Telekom Austria Reaches Agreement for Voluntary Transfer of up to 500 Civil Servants to the Police Force (Ad hoc)

  ad-hoc disclosure transmitted by euro adhoc with the aim of a Europe-wide
  distribution. The issuer is solely responsible for the content of this
  announcement.
C.E.O. Interviews
26.11.2009
Vienna, November 26, 2009: The Telekom Austria Group (VSE: TKA, OTC 
US: TKAGY) today signed an agreement with the Austrian government for
the voluntary transfer of up to 500 civil servants of its Fixed Net 
division, who cannot be laid off due to their civil servant status 
but have to be made redundant due to changes in technology, to the 
Austrian police force. The agreement is effective immediately.
"This agreement is ground breaking as it is the first of its kind and
creates a win-win situation for all parties: It addresses one of the 
key issues for a sustainable development of Telekom Austria Group and
offers our civil servants a positive perspective for their future 
careers. Plus, it supports the Austrian police force to make Austria 
more secure", says Hannes Ametsreiter, CEO Telekom Austria Group.
According to this agreement up to 500 out of 6,100 civil servants 
employed by the Fixed Net division may apply to the police force to 
take on administrative tasks. After six months and provided a 
positive assessment the civil servants may apply for a permanent 
transfer to the police force and cease the right to return to Telekom
Austria Group.
Telekom Austria Group will pay the salaries of the civil servants 
transferred to the police force until June 30, 2014 and will 
compensate the civil servants until retirement for a potential 
shortfall of salary and pension contribution including an extra 
allowance of EUR 6,000 per year for transferring to the police.
"This agreement constitutes a major milestone in the ongoing 
restructuring of the Fixed Net in a socially responsible way. It will
have a positive impact on cash flow from mid 2014 on as each civil 
servant transferred to the police force will lead to a significant 
cash saving over his remaining average 17 years  of work life," adds 
Hans Tschuden, CFO Telekom Austria Group.
The agreement will not impact the financial results 2009 and the net 
debt position of the company. The impact on the financial results of 
Telekom Austria Group in 2010 and beyond depends on a number of 
factors, including age, salary, time of transfer to the police, but 
most importantly assignment to the Fixed Net operations or the idle 
work force and can only be assessed upon the final transfer of the 
civil servant.
Each civil servant assigned to the Fixed Net, who voluntarily 
transfers to the police force, requires an accrual equivalent to the 
net present value of the future expenses born by Telekom Austria.
Each civil servant assigned to the idle work force under last years 
restructuring program, who voluntarily transfers to the police force,
will result in a release of part of the restructuring provision 
accrued last year, however without recurring impact on EBITDA in 
subsequent years.
Telekom Austria will provide an update on the uptake of the program 
in due time.
end of announcement                               euro adhoc

Further inquiry note:

Peter E. Zydek
Head of Investor Relations
Tel.: +43 (0) 59059 1-19001
mailto:peter.zydek@telekom.at

Elisabeth Mattes
Telekom Austria Group's Spokeswoman
Tel.: +43 (0) 664 331 2730
mailto:elisabeth.mattes@telekom.at

Branche: Telecommunications
ISIN: AT0000720008
WKN: 555750
Index: WBI, ATX Prime, ATX
Börsen: Wien / official dealing

Plus de actualités: Telekom Austria AG
Plus de actualités: Telekom Austria AG