ADSL on its last legs in South Africa

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  By   Daniel Puchert Partially state-owned telecommunications company Telkom announced in its financial results for the year ending 31 March 2025 that its ADSL subscribers had more than halved to under 30,000. According to the company’s operational data, ADSL lines decreased from 64,959 in March 2024 to 29,770. This 54.2% decline highlights that the legacy broadband technology is slowly approaching the end of the road. Telkom’s ADSL business peaked at the end of March 2016 with 1.01 million subscribers — two years after fibre upstart Vumatel  broke ground in Parkhurst . What followed was a sharp decline in Telkom ADSL subscribers. Customers connected to its copper networks decreased by more than 500,000 over the next four years. This was partly driven by Telkom itself, which began actively switching off its copper network in some neighbourhoods. If it did not have fibre in the area, it would offer a “fixed line lookalike” wireless service that ran over its cellular ...

Major strike planned for South Africa next week

 

The South African Federation of Trade Unions (Saftu) says that will embark on strike action around the country next week in response to  number of economic problems facing the country.

Saftu is the second largest of the country’s main trade union confederations, with 21 affiliated trade unions organising 800,000 workers.

The trade federation said that it has given notice to Nedlac to embark on a strike on 24 February 2021 – the same day as finance minister Tito Mboweni’s budget speech.

Most of the strike action will focus on a mass stay-away of workers, it said in a media briefing on Tuesday.

The trade federation said that it also plans to hold protest marches in major cities around the country on the same day, including at the home of the National Assembly in Cape Town.

“Even before Covid-19, we faced an economic pandemic of soaring unemployment, grinding poverty and extreme inequality,” it said.

“South African capitalism restored its once-high profit rate through ANC’s policies of austerity, privatisation, relaxed exchange controls, export-led growth at all costs and environmental destruction. The system was, meanwhile, incapable of meeting even the most basic needs of its people.”

The trade  federation has published dozens of grievances which primarily centre on a few key points:

  • The construction of a new economy – including a minimum wage of R12,500 a month for all workers, and a moratorium on all job losses;
  • The improvement of living conditions and the redistribution of land;
  • The cutting of greenhouse gas emissions;
  • Raising the social wage and providing public healthcare finance;
  • Free, decolonised and high-quality public education;
  • An end to corruption and crime;
  • A non-racial, non-sexist, democratic, socialist society.

This will be the first major national strike action undertaken by unions since the country relaxed level 3 Covid-19 lockdown rules.

However, analysts have warned that action will likely become more frequent in 2021 in response to government wage negotiations and upcoming elections.

In a January research note, BNP Paribas said that the government’s public sector wage deal is likely to remain a major point of contention in 2021, and could lead to further strike action.

“We see a good chance of widespread strike action as early as February, possibly tempered by Covid-19 restrictions and existing high levels of unemployment,” it said.

The deal could also impact the tripartite alliance between the ANC, Cosatu and the South African Communist Party.

BNP Paribas said that trade federation Cosatu has lost a large number of members in recent years, however, it said that the wage deal is likely to dominate the agenda.


Read: Rich South Africans could be hit with higher taxes next week

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