BTL Workers Union Withdraws Support for Smart Acquisition

In related news, the Belize Communications Workers Union has withdrawn its support for BTL’s proposed acquisition of Speednet Communications Limited.  Its position, however, appears to leave room for further engagement before the transaction is finalized.  In a release issued on Sunday, the BCWU said eighty-four percent of the members who participated in an emergency meeting on August sixth were no longer in support of the acquisition “as currently proposed.” The union’s wording suggests its concerns relate primarily to consultation, communication and assurances for workers, not necessarily to the principle of bringing Smart under BTL’s ownership.  The BCWU says it initially sought clarification on job security, the financial implications of the deal, regulatory and legal matters, and whether Smart employees would eventually be able to join the union. It also requested a phased process involving consultation with the National Trade Union Congress of Belize.  Love News understands that a virtual town hall meeting with employees on January 22 took place where most employees supported the acquisition at that stage, with the understanding that the concerns raised by the union would be addressed.  The union says it continued discussions with BTL’s management but later learned through media reports that the company’s Board would meet on August 4 to consider the transaction. The Board ultimately voted eight to two in favour of the acquisition.  The union says further engagement with employees could help to resolve the remaining questions. It is calling for timely communication, consultation and assurances on matters that may directly affect workers. The union now intends to consult with the NTUCB on its next steps.  BTL has maintained that the proposed eighty-million-dollar acquisition is intended to create national benefits through greater efficiency, reduced duplication of infrastructure and a stronger locally owned telecommunications sector. The company has also stated that it will not borrow money to finance the purchase and that no additional Social Security investment will be required. Based on BTL’s projections, the investment would be repaid from Smart’s operating cash flows, with an estimated discounted payback period of approximately four-point-two years.  While the Board has approved the proposed purchase, the transaction is not yet complete. Continued due diligence, contractual protections and a definitive Share Purchase Agreement remain necessary before final execution.