Talk Talk Annual Report May 20, 2011Posted by alancwu in News.
Project Crystal completed – over 600 staff gone and those staff remaining feeling that senior management is more detached, not less, as a result of the restructure. And then, yesterday, Dido’s announcement on the first annual report for Talk Talk Group since the demerger:
Today we are announcing our first annual results as a separately quoted public company, and as ever I wanted you all to hear about them from me first.
Our first year as an independent company has been an extraordinary one. We have delivered some impressive financial results – our revenue has grown by 5%, profit has grown by 25%, and cashflow by 31%. We have added just under half a million customers to our own network, with 86% of our customers now unbundled. We have grown Broadband average revenue per customer by 6% as more customers have bought more products from us, and last but by no means least we have completed the Tiscali Integration Programme, and achieved £55m of synergies as a result….
Benefits for the shareholders and exec’s:
1. Revenue growth 5%
2. Profit growth 25%
3. Cashflow up 31%
4. 86% of network unbundled (therefore further increasing future profits)
5. Broadband average revenue per customer up 6%
6. £55m synergies from Tiscali.
A) Dividend policy from FY2012 enhanced to 50% payout of headline EPS and a “separate” pay review for the SMG in June.
B) Better set up to make TalkTalk A Brighter Place for Everyone. (Please refer to the small print for exceptions)
A) Employee pay decrease in real terms of approximately 3% compared to RPI and a further 1% due to NI. Therefore a real terms 4% decrease. (4.97% RPI increase from Apr 2010-March 2011)
B) Employee bonus only a 1/5 of potential due to heavily unrealistic targets that were being missed in Q1, regardless of what Dido allowed us to believe.
C) Increased work load due to 580 peoples roles being distributed between the remaining employees. Examples have been seen of individuals taking on between 3-5 roles with more, not less expected from each of those roles!
The above follows a poor prior year pay rise of just 2% last year and 0% the year before. Again representing a real pay decrease.
“We have delivered some impressive financial results – our revenue has grown by 5%, profit has grown by 25%, and cashflow by 31%”
Would have like to see this reflected in our annual payrises rather than a real world 2% decrease.
Just a general question…how do you expect TT staff to go the extra mile for customers if we feel undervalued and slightly cheated at a flat 2% payrise.
please see the link below on what BT have agreed with their staff.
“So why on Earth did we all get a VERY poor 2% payrise when we are doing this well as a company?!?!?! Makes me sick.”
Very excited by this great news. With no pay rise last year, a pay rise this year that has left us over 6% below inflation over a two year period, rounds of redundancies, morale it is fair to say is at an all time low. But now it looks like all the hard work, the restructuring, the understanding of such low pay rises etc has been worth it and we will be duly rewarded with fair bonuses* to reflect all this. Then morale should start to rise again and our slogan of ‘a brighter place for everyone’ can be something more than a daily slap in the face.
*Anything below 100% of fully met is going to leave a very bad taste in peoples mouths, and considering the ‘extraordinary’ year and ‘impressive financial’ results we have just turned out, an ‘exceeded’ bonus would seem to be fair reward for this.
Looking forward with great anticipation to the pending good news.
Please provide us with what we are worth! 2% is in an insult and no pretty presentation is going to make that better.
Anything less then a stretch bonus at full will be further insult. If you want motivated staff, then show us the money. I have rising bills to pay and increasing tax. As much as the shareholders may want faster cars and bigger houses, I would like to at least afford a flat! How about considering the people that put TalkTalk on the map, the employees!
You can do something about this – there are CWU members all across TTG. If you want to get involved in making a difference we can put you in contact with like minded people across the business. Contact: firstname.lastname@example.org or 07894 461710.