Globe Telecom

:"Not to be confused with Globe Telecom (Singapore), a similarly named company in Singapore."Infobox_Company
company_name = Globe Telecom
company_
company_type = Public (PSE: [http://www.pse.com.ph/html/ListedCompanies/listedcompanyinfo.jsp?securitySymbol=GLO GLO] )
slogan = "Abot mo ang mundo"
(Filipino: You can reach the world)
foundation = Manila, Philippines (1935)
location = flagicon|Philippines Mandaluyong City, Philippines
key_people = Jaime Augusto Zobel de Ayala II, Chairman
Gerardo C. Ablaza, Jr., President and CEO
industry = Communications Services
products = Broadband Services
Cellular Telephony
Fixed-Line Telephony

homepage = [http://www.globe.com.ph www.globe.com.ph]
revenue = P57 billion PHP (profit4%) (2006)
net_income = P12 billion PHP (profit14%) (2006) [http://www.ayala.com.ph/annual_report/annual_report_2005.zip]

Globe Telecom (Pse|GLO), commonly known as Globe, is the second-largest telecommunications company in the Philippines, providing a diversified set of fixed-line and mobile telecommunications services.

History

In 1928, Congress passed Act No. 3495 granting the Robert Dollar Company, a corporation organized and existing under the laws of the State of California, a franchise to operate wireless long distance message services in the Philippines.

The Robert Dollar Company subsequently incorporated in the Philippines as Globe Wireless Limited and in 1934, Congress passed Act No. 4150 transferring the franchise and privileges of the Robert Dollar Company to Globe Wireless Limited.

Globe Wireless Limited was subsequently renamed Globe Mackay Cable and Radio Corporation. Congress, through Republic Act 4630 enacted in 1965, further expanded its franchise to allow it to operate international communications systems.

Globe Telecom was closed in the Philippines by Martial law.

Shortly before the expiration of its franchise, the Batasan Pambansa in 1980 enacted Batas Pambansa 95 granting Globe Mackay Cable and Radio Corporation a new franchise.

On June 15, 1990, Isla Communications Co., Inc. (Islacom) was incorporated. Through Republic Act 7372, Islacom was authorized to develop full-service telecommunications network in the country.

In 1991, Globe Mackay was subsequently merged with the Clavecilla Radio Corporation. Globe Mackay as the surviving company was renamed GMCR, Inc. and on March 19, 1992, the Philippine Congress passed Republic Act 7229 approving the merger and the transfer of the franchise of Clavecilla Radio Corporation to the surviving company to be renamed GMCR, Inc.

In 1994, Islacom earned an important place in the history of Philippine telecommunications when it launched the country's first digital mobile communication services using GSM world standard digital technology.

On 20 August 1998, the Philippine Securities and Exchange Commission (SEC) approved the change of name of GMCR, Inc. to Globe Telecom, Inc. (Globe).

On February 22, 2000, Globe and its principal shareholders Ayala Corporation(AC) and Singapore Telecom International Pte. Ltd. (STI), a wholly owned subsidiary of Singapore Telecom (ST), and Islacom and its principal shareholders Asiacom Philippines, Inc. (Asiacom) and DeTeAsia Holding GmbH (DeTeAsia), a wholly owned subsidiary of Deutsche Telekom AG (DT), entered into a General Agreement for a combination of the business and operations of Globe and Islacom.

On June 27, 2001, Globe completed the share swap transaction with Islacom, which effectively made Islacom a 100%-owned subsidiary of Globe.

In September 2002, Globe announced the operational integration of Globe and Islacom’s wireless networks to increase the Globe Group’s business focus and streamline its operations in order to optimize utilization of the network to benefit subscribers. A key element of the integration involves the migration of existing wireless subscribers of Islacom to the improved Touch Mobile service, allowing them to enjoy superior coverage and service offering available through the Globe-Islacom integrated network.

On August 7, 2003, the National Telecommunications Commission (NTC) approved the legal transfer of Globe's wireline business, authorizations, properties, assets and obligations to Islacom.

On August 25, 2003, the SEC approved the change in name of Islacom to Innove Communications, Inc. (Innove).

On March 30, 2007 Globe Telecom, through its president and chief executive Gerardo Ablaza Jr. said it is diversifying from its core business to take advantage of the booming broadband business. Ablaza said the company would increase its investments in cable systems and wire lines to build its broadband Internet infrastructure. Industry analysts have viewed Globe’s plan to invest in cable systems as a strategy to compete more aggressively with Philippine Long Distance Telephone Co., which took advantage of its wire line infrastructure to diversify into broadband business.

Ownership

*Singapore Telecommunications: 45%
*Ayala Corporation: 34%
*Public stock: 21%

Competition

Globe's main competitor in the fixed-line telephone market is PLDT. In the mobile telephony market, its main competitors are Smart Communications, which is owned by PLDT, and Sun Cellular, which is owned by Digitel. In the budget segment, their Touch Mobile brand competes directly with Smart Communications' Talk N' Text brand.

P244,625.00 Damages, Globe Telecom vs. Florendo-Flores

Respondent Florendo-Flores "was unlawfully constructively dismissed" from employment. [Rollo - "Rollo, NLRC"., pp. 25-27.]

On 1 July 1998 Joan Florendo-Flores filed with the Regional Arbitration Branch of the National Labor Relations Commission (NLRC) an amended complaint for constructive dismissal against GLOBE, Lazaro, Galang, and Cacholo M. Santos, her immediate superior, Luzon Head-Regional Sales. In her affidavit submitted as evidence during the arbitration proceedings, Florendo-Flores bared that Cacholo M. Santos never accomplished and submitted her performance evaluation report thereby depriving her of salary increases, bonuses and other incentives which other employees of the same rank had been receiving; reduced her to a house-to-house selling agent (person-to-person sales agent or direct sales agent) of company products ("handyphone") despite her rank as supervisor of company dealers and agents; never supported her in the sales programs and recommendations she presented; and, withheld all her other benefits, i.e., gasoline allowance, per diems, representation allowance, and car maintenance, to her extreme pain and humiliation [Supreme Court, Second Division - "Supreme Court, Second Division". , Decision, http://www.supremecourt.gov.ph/jurisprudence/2002/sep2002/150092.htm]

Labor Arbiter Monroe C. Tabingan declared Florendo-Flores to have been illegally dismissed and ordered petitioners to reinstate her without loss of seniority rights and full benefits; and to pay full back wages, inclusive of basic pay, allowances and bonuses as prayed for in the complaint amounting to P307,625.00, exemplary damages in the sum of P200,000.00, and ten percent (10%) of the total monetary award as attorney's fees. [National Labor Code Commision, - "NLRC, Rollo". , Rollo, p. 40.]

The Decision follows: "It would appear however that the respondent company was negligent in monitoring all its key personnel. For it is the bounden duty of the corporate officialdom to constantly monitor their managerial staff if only to ascertain the smooth flow of work and operations, which includes the inter-personal relations of each and every key segment of the corporate machinery. For such, it must be assessed with just and reasonable exemplary damages" [Supreme Court, - "Supreme Court, Second Division". , Second Division, http://www.supremecourt.gov.ph/jurisprudence/2002/sep2002/150092.htm#_edn4]

WHEREFORE, the judgment appealed from is MODIFIED. The Decision of the Court of Appeals of 25 May 2001 in CA-G.R. SP No. 60284 affirming the Decision of the National Labor Relations Commission of 28 January 2000 declaring that respondent Joan Florendo-Flores had abandoned her work is SET ASIDE. Petitioners Globe Telecom, Inc., Delfin Lazaro, Jr., and Roberto Galang are ordered to pay respondent Joan Florendo-Flores full back wages from the time she was constructively dismissed on 15 May 1998 until the date of her effective reinstatement, without qualification or deduction. Accordingly, petitioners are ordered to cause the immediate reinstatement of respondent to her former position, without loss of seniority rights and other benefits. No pronouncement as to costs.

Service Rating

Globe's wholly owned subsidiary, Innove (responsible for Globe's fixed landline business), has been bugged by service inconsistencies as such that their customer service rating has been dwindling down. Including but not limited to residential service disconnection of broadband services, and poor customer service handling leading to poor customer satisfaction.

Partnership

On 20th March 2008 Globe Telecom signed an agreement with [ezetop] [http://www.ezetop.com] to provide the sale of international mobile phone recharge to the Diaspora worldwide. Load is available in retail locations around the world and online at their website.

iPhone 3G

Globe is the official carrier of Apple Inc.'s 3G iPhone in the Philippine market care of SingTel.

Globe launched iPhone 3G on August 22, 2008 along with 21 other countries.

See also

*Ayala Corporation
*Globe Handyphone
*Touch Mobile

External links

Complaints

* [http://www.reviewstream.com/reviews/?p=19096 A review on Globe Telecom's prepaid service]
* [http://www.pinoyspy.com/2006/06/28/compete-don%E2%80%99t-whine-smart-tells-globe/ Compete, don't whine tells Smart to Globe]
* [http://toni.marikit.net/?p=674 Why Globe Visibility is not holding up to its promise?]
* [http://toni.marikit.net/?p=681 Globe continuing invisibility]
* [http://tonyo.blogspot.com/2007/02/consumers-fight-back-against-globes.html Consumers fight back against Globe's Unlimited Kabastusan and Unlimited Panloloko]
* [http://planet.naga.gov.ph/2007/01/15/prepaid-load-shaving-at-globe-the-complaint/ Prepaid load shaving at Globe: The Complaint]
* [http://www.esato.com/archive/t.php/t-87538,1.html Globe's Call and Text All You Want promo for prepaid subscribers]
* [http://www.mobileactive.org/node/4803 RP Government must stop thieves of peoples cellphone load/credits]

Official

* [http://www.globe.com.ph Official Globe Telecom Website]
* [http://www.myglobe.com.ph myGlobe portal]
* [http://www.hub-eshop.com/client/index.asp Hub E-Shop]
* [http://www.globeplatinum.com.ph Globe Platinum]
* [http://www.globesolutions.com.ph Globe Solutions]
* [http://www.globekababayan.com.ph Globe Kababayan]
* [http://www.g-cash.com.ph GCash]
* [http://www.betterthan3g.com Globe Visibility]
* [http://www.globe.com.ph/ Globe Telecom]
* [http://www.touchmobile.com.ph/ Touch Mobile]
* [http://www.sme.globe.com.ph/ Globe SME]
* [http://iphone3g.globe.com.ph Globe iPhone 3G microsite]