Illustration for NatCo in Macedonia with country flag.

Corporate Responsibility

Macedonia: One Company

Review of the Employee Relations Policy at Makedonski Telekom and T-Mobile Macedonia. Both companies successfully incorporated elements of the Employee Relations Policy.

In the course of regular monitoring the success of the Employee Relations Policy (ER Policy), Deutsche Telekom visited Makedonski Telekom (MKT) and T-Mobile Macedonia (TMMK) at the end of last year. The two companies, both owned by Hungarian Magyar Telekom, are in the specific situation of merging their entities to become one company, a process that already started some years ago and is expected to close shortly. Two different company structures This fact needs to be taken into consideration when analyzing the companies. Both entities faced a long pre-phase of the merger, had to align two different company structures and underwent a major restructuring and transformation in 2013. The ER Policy was implemented in Macedonia based on a Board of Management decision on December 18th, 2012. It was communicated to all employees via Team News, the corporate portal, shortly after. All employees (approx. 1.400) are able to access its content on a platform where all internal regulations and policies can be found.

Part of the company’s DNA Discussions during the on-site visit on Nov. 20th/ 21st 2013 in Skopje showed that the different elements of the ER Policy are successfully incorporated at both Makedonski and T-Mobile Macedonia. The Guiding Principles, one element of the ER Policy, are part of the company’s DNA. Different awards have been won in the past by their activities on the annual Guiding Principle Day. It was also great to learn that both companies have been named employer of choice in Macedonia for many years in a row.

Established partner MKT and TMMK are operating in a shrinking market which resulted in decreasing revenues in 2013 for the first time. This fact, in addition to the ongoing merger, called for major organizational changes. Detailed on-site discussions revealed that the organizational changes were carried out with all the necessary elements for a responsible project management. Last year the company worked on the different work-streams necessary for the merger and aligned all of them with the social partner which is an established partner with good knowledge for business needs.

Both companies have already come a long way in growing together However, apparently due to the restructuring and transformation in 2013, the remaining employees sometimes face overtime and consequently work-life balance issues. A challenge that needs to be addressed with suitable follow up actions. Two separate discussion rounds - one conducted with managers the other one with employees - underlined and reflected this. The long period of insecurity and unclear future has affected commitment and satisfaction of employees.

A long way Nevertheless, both companies have already come a long way in growing together. The salary systems and benefits of the two former companies are now fully aligned resulting in one system and common benefits for every employee. There is a strong need to refocus the way the company does business and what is expected from managers. Therefore, a leadership assessment and development program will be performed in 2014 and 2015.