The Communications Workers Union (CWU) has withdrawn its interdict application against MTN, according to a statement issued by the mobile operator.

The CWU interdict application had sought to halt MTN from going ahead with its plans of outsourcing some of its call centre facilities.

Nhlanhla Qwabe, Chief Human Resources Office at MTN SA says the mobile operator will continue to communicate with the Union on the issue in dispute. "MTN will continue to maintain an open door policy with the union on the matter, in order to reach an outcome that will benefit all the parties concerned, including our customers."

The mobile operator believes that it has been vindicated by the CWU's decision to withdraw its interdict application. MTN goes on to says that the decision affirms that MTN has conducted itself in a reasonable manner and had been engaging the employees in in good faith.

MTN announced its plans to outsource some of its call centre facilities earlier this month. The telecommunications company disclosed that it will adopt a hybrid outsource model which will result in some call centres being outsourced to an experienced third party vendor while others are retained in-house. The move is aimed at optimising operations and enhancing customer experience according to MTN.

"The finalisation of this commercial undertaking will enable MTN to streamline its operations and focus on its core competencies, improve its ability to offer its customers a better customer value proposition and reduce operational costs," added the company in its acknowledgment of the withdrawal of the interdict.

Affirming the action of the Union on 26 August, Aubrey Tshabalala, General Secretary of the CWU, said the organisation sought the interdict "when we realised MTN was not engaging in good faith".

Tshabalala said the operator had violated a number of standard processes governing consultation with unions, and referred to an agreement the operator had secured with the CWU in July 2015 regarding the conversion of all casual workers into permanent positions. This, he said, has implications in terms of remuneration, benefits etc. because, under that agreement, the workers would have been full time employees of MTN for a year.