IndiHome And Telkomsel Merger, Telkom Boss Guarantees No Layoffs

JAKARTA - President Director of PT Telkom Indonesia (Persero) Tbk (TLKM) Ririek Adriansyah guarantees the merger or merger between PT Telekominikasi Selular (Telkomsel) and IndiHome will not cause termination of employment (PHK).

"For human resources, there will be a transfer from Telkom to Telkomsel. One thing I can guarantee in this honorable forum there will be no reduction in employees," he said in a meeting with Commission VI of the DPR, Parliament Complex, Senayan, Jakarta, Monday, April 3.

Furthermore, Ririek explained that for employees who did not participate in being transferred to Telkomsel, training would be given to provide other businesses.

"So later employees who do not move to Telkomsel, there is still Telkom, we will re-train them to carry out other businesses conveyed by the leadership, namely focusing on B2B," he said.

Ririek said this plan is an effort to merge the mobile business with a fixed broadband or fixed mobile convergence (FMC) business.

"So far, this existing serves the market through IndiHome and Telkomsel, Telkomsel has a mobile sim card, there are these Orbits and IndiHomes are separate. We will combine them later," he explained.

In addition, Ririek said that the profit from this business merger can be seen from the projected increase in earnings for interest tax, depreciation and amortization (EBITDA) reaching IDR 5 trillion to IDR 6 trillion starting in 2027.

Furthermore, Ririek explained that in the future the telecommunications industry will be more challenging. Because data prices or broadband will decrease. While usage is still growing, so the margin is depressed.

Therefore, continued Ririek, Telkom as an operator must do several things. One of them, is the efficiency of investment costs or capex or operating costs or opex.

"That's one thing we need to do," he explained.