In view of the frequent failures of the XT network, the Shareholder Activist, Bruce Sheppard has expressed a strong disagreement with the $3 million bonus to be bagged by Paul Reynolds, Telecom's CEO.
He has warned to move a motion at the Telecom annual general meeting, in October, to sack the entire board if the bonus amount remains uncut.
Supporting Sheppard's take, Andrew Little, from the Engineering Printing and Manufacturing Union, said, "The board of directors have got to take some responsibility and they shouldn't be rewarding the chief executive of a company that can't deliver the basic service".
"They're the ones who sign off investment decisions of this size, they're the ones who have to ensure that management have done the job properly and they haven't been held to account at all", he added.
He also pointed the two resignations that followed the problems witnessed at the XT network. These resignations were made by Alcatel-Lucent New Zealand CEO Steve Lowe and Telecom's Group Chief Transformation Officer Frank Mount.
However, Telecom Board Chairman Wayne Boyd has clarified that Reynolds' bonuses would be decided at the end of the financial year, in June and thus, it will be inappropriate to comment over it, as of now.