Headless SLT management in dire straits

Sri Lanka Telecom PLC (SLT) management is in dire straits as it has functioned sans a Group CEO since last December, SLT trade unions say.

Attempts to recruit a suitably qualified and experienced person to head the management of the company by conducting interviews after calling for applications twice through newspaper advertisements were fruitless, union leaders alleged.

The two main political parties, SLFP and the UNP, had an implicit agreement previously not to interfere with appointments made by each other. However this has led to political infighting for top posts by factions in the SLT representing both parties, they pointed out.

Four senior officials earmarked by the SLT Chairman P.G. Kumarasinghe Sirisena to appoint one of them to the CEO’s post came under severe opposition of the employees due to these officials alleged involvement in malpractices and corruption, a committee member of the Telecommunication Engineers Union (TEU) said.

At the Annual General Meeting of the SLT held at the BMICH in Colombo on Wednesday, Mr. Kumarasinghe assured shareholders, who were vociferous about the current situation of the company, that he will take necessary action to appoint a CEO within two months.

It is also planned to hire a local or international head hunter at a fee of Rs. 20 million to look for a suitable candidate, the ITU member said adding that a plan has also been devised to outsource IT section, project management and several other key divisions of the SLT.

The Executive Committee appointed to oversee the operations of the company following the resignation of the Group CEO has failed to bring expected results due to infighting, he revealed.

The report of a 3- member committee headed by retired Appeal Court judge, N. Sunil Rajapaksha which was appointed five months ago to inquire into alleged malpractices and irregularities at the company since 2008 is yet to be released.

SLT's profit margin is expected to dilute over 2018-2020 period, as improving profitability on fixed- broadband and mobile Internet usage will only partly offset margin dilution from a falling share of profitable fixedvoice and international operations, analysts said.

However the TEU still believes that to re- establish SLT as a successful corporate entity, it needs more robust and speedy strategic measures including the removal of other remaining disruptive elements from SLT. (BS)