
With Oi Corporation declared bankrupt by the courts, Rio Communications employees are living in a climate of uncertainty not only about the future of their jobs, but also regarding the workers’ compensation payment schedule.
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Workers who make the minimum wage will be paid $150 in advance. Those with a balance above this limit will be included in the bankruptcy estate, with no expectation of when they will be compensated.
In total, there are approximately 13,000 workers under the umbrella of telecom companies, including 10,800 in network maintenance companies and call centers. The plan aims to sell these companies, in addition to other assets. This should help with the payments involved in the bankruptcy process.
The company still operates 7,500 sites across the country, with 4,600 contracts with the public sector and 10,000 with private companies. Keeping these services running is one of the challenges in this phase, which begins now. The transfer of these activities will be coordinated by the Judicial Director of the Oi.
Check below the routes already planned for workers.
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What will happen to network maintenance companies and call centers?
Both Serviços de Rede (Serede) and Brazil Telecom Call Center (Tahto) have entered the judicial recovery phase. Serede has nearly 5,000 employees behind on their salaries. Tahto has 5,800 employees. The two units will be sold by Oi.
How is OI Workers’ Compensation scheduled?
The company currently employs about 2 thousand employees. With the court declaring Oi bankrupt, employees with dues exceeding 150 minimum wages will enter the bankrupt estate and, as a result, still have no expectations of payment. Those whose values reach 150 minimum wage must receive it in advance.
How is the demobilization phase planned?
One of the main questions workers are asking is what the firing process will be like, and whether everyone will be laid off at the same time or in phases.
How long will health plan coverage be maintained?
The health plan was recognized as an essential service under the court decision. However, employees still do not know if this benefit will be maintained or for how long. Currently, the company has contracts with several operators, such as SulAmérica.
How will the transfer of services provided by Oi take place?
After the court declares Oi Company bankrupt, the company’s judicial director, under the supervision of the judiciary, will develop a plan to transfer the services provided by the operator to other companies. This transfer will initially be carried out by Oi Soluções, a division of the company operating in the corporate market. The company’s cash flow, estimated at approximately R$200 million per month, will be used.
How will Oi Soluções sell?
Oi will continue to sell Oi Soluções. According to people close to the ongoing negotiations, there are seven companies interested.
The process will be led by the company’s judicial administration, which is currently in charge of the company, as the board of directors and board of directors have been dismissed by the courts.
What will the process of selling property in Oi be like?
Oi still owns several properties. The company already has a dedicated team to sell these assets. Many of them have already been sold, such as the Leblon property in Rio de Janeiro, where the company is headquartered. In total, the company owns 7,000 properties, but many of them are still embroiled in legal proceedings.
How will public services be transferred?
The company currently serves 7,500 locations alone. Therefore, Anatel (the National Telecommunications Agency) and the Federal Government will determine how this transfer will be implemented, because it is an obligation stipulated in an agreement signed between Oi and the regulatory body.
The operator is the sole provider of individual payphone and fixedline services. The idea is that coverage will now be provided by another company — whether through fixed or mobile service, according to Anatel.
How will other services provided to public companies be transferred?
The same applies to three-digit telephone services, in which the operator serves the police, firefighters and civil defense, through contracts concluded with these institutions.
Oi currently has 4,664 contracts signed with public authorities, in all states and areas (federal, state and municipal), covering public bodies, ministries, universities and state-owned companies.
The company is also responsible for connecting 13 thousand Caixa Econômica Federal Lottery outlets.
What services does Oi still provide to the public sector?
Services include cybersecurity, cloud computing, artificial intelligence, and the Internet of Things (IoT), as well as communications solutions provided to jurisdictions at the state and federal levels.
What will the Cindacta transfer be like?
Last month, the court transferred communication from the Integrated Air Defense and Air Traffic Control Center (Synducta) to Claro (of Mexico’s América Movil), in a process that was supposed to take months, according to the sources.
When explaining the complexity of the process, the court noted that authorizing the transfer of service requires “interaction with more than 100 civilian and military authorities.”
Does Oi serve private companies?
Yes. Oi maintains nearly 10,000 active contracts, and provides data and voice to many large companies, such as retailers, airlines, hybrid capital firms, and financial institutions.
Does Oi still provide landline phone service to individuals?
Yes. The service is provided by Oi Soluções. This is UC4X Telephony, a 100% cloud-based VoIP telephony platform that turns a traditional landline into a virtual one.
Currently there are a few clients, mostly small entrepreneurs, farmers, shopkeepers and traders. No longer in the retail business, Oi sold its mobile operations (Oi Móvel), fixed-line operations (Oi Fixo), and broadband operations (Oi Fibra, which is now Nio).