At least 600 employees have accepted voluntary severance packages.
Canal+ and MultiChoice say they don’t comment on anonymous allegations. Picture: Gallo Images/Lubabalo Lesolle
What was billed as a landmark takeover is now facing early turbulence.
Less than a year after acquiring MultiChoice, French media giant Canal+ stands accused of breaching Competition Commission conditions, with alleged violations of retrenchment commitments triggering fresh scrutiny.
South Africa’s competition watchdog approved the deal with strict conditions, including that Canal+ not retrench MultiChoice employees for three years.
However, insiders have alleged that at least 600 employees have accepted voluntary severance packages following hostile working conditions.
Canal+ declines to comment
Canal+ told The Citizen it would not comment on faceless allegations.
“Canal+ and MultiChoice Group do not comment on anonymous allegations or unsubstantiated claims. Any organisational or operational decisions are undertaken in accordance with applicable laws, regulatory requirements, and established governance processes,” said the French media giant.
“Canal+ and MultiChoice remain fully committed to supporting their employees, business partners, and suppliers in conducting their activities responsibly and in compliance with all applicable obligations.
“We remain focused on creating long-term value for all stakeholders throughout the integration process.”
Canal+ embarks on constructive dismissals
An insider told Mybroadband that the companies have found a way to eliminate people without actually retrenching.
It is alleged that the company has set unachievable sales targets for DStv resellers, particularly those operating in small towns. The insider said their contracts have been amended to reflect a new target of securing at least 30 new DStv customers per counter per month.
DStv has been losing subscribers for several years, a hurdle that Canal+ is expected to address if it expects to make money from its acquisition. But is setting unachievable targets a way to go about it?
DStv was established in 1995, and since then, the world has evolved, new streaming services have come to play, and they are offering more than DStv does.
Recently, MultiChoice lost its deal to showcase HBO content, and some channels have closed.
600 employees accept voluntary severance packages
Insiders at MultiChoice found it strange that 600 employees have accepted voluntary severance packages, citing the unachievable targets as the reason.
“The reason for that is because Canal+ has made the environment so uncomfortable and targets so ridiculous that people are putting their hands in the air and saying ‘I’m out of here’.”
The primary difference is that retrenchment is initiated by the employer due to operational needs, whereas a voluntary severance package is a mutually agreed-upon separation in which an employee opts to leave, typically to avoid forced retrenchment.
Competition Commission investigates
The Competition Commission told The Citizen it is investigating a complaint about an employment concern.
“I can confirm that in mid-May 2026, the Commission received an employment concern regarding the impact of the merger on employees of third-party service providers contracted to the merged entity. The Commission is investigating this complaint.”
The massive voluntary severance packages being accepted by employees have left Durban, KwaZulu-Natal, with only one DStv centre.
“Durban has two DStv centres, one in Umhlanga and one in Durban Central,” said the insider. “Due to the number that have taken voluntary severance packages, and of course, cost-cutting, they are closing the one in Umhlanga.”
“Those people who are still in Umhlanga who haven’t taken the voluntary severance packages now have to move to Durban Central,” an insider told Mybroadband.
Restructuring process
Since some employees have not accepted the voluntary severance packages, the company has embarked on a restructuring process, but they don’t use the word “restructuring process”. It is called “Target Operating Model”, TOM.
This process has allegedly seen senior managers opting for the severance packages.
“Now that the voluntary severance packages are closed, it seems like people are being bullied into positions, often demotions disguised as lateral movements.”
They explained that the restructuring had significantly flattened the company’s sales structure, removing several more senior positions entirely and forcing others into lower-tier roles.
The only option for many displeased with the situation resulting from the restructuring processes would be to resign.
The Competition Commission and ICASA previously appeared before the Portfolio Committee on Communications and Digital Technologies to account for the Canal+ takeover of MultiChoice.
Members of parliament summoned the regulators to address concerns over job losses, the canning of local content, and the Showmax shutdown.
