Employees of PCCW have threatened another round of industrial action to fight against the telecoms giant's latest cost-cutting proposal, which would require them to take unpaid leave. The Pacific Century CyberWorks Staff Association, which has about 2,000 members, said it was considering taking industrial action that could include a strike if the company pressed ahead with the unpaid leave proposal. The threat came a day after PCCW mapped out its latest cost-cutting proposal, which would require employees to take one or two days of unpaid leave every month, starting next month and running until the end of the year. Association chairman Terry Ip Ngok-fung said that more than 99 per cent of PCCW employees would have to take unpaid leave and that less than 1 per cent would be unaffected by the latest proposal. 'The unpaid leave proposal means employees would have to take up to a 10 per cent wage cut. 'PCCW has no reason to cut our wages, as it is still making profits,' he said during a protest outside PCCW Tower yesterday. 'We appeal to all our members not to accept the proposal, and we will seek legal advice on the company's unpaid leave plan, because it involves changing the terms in our contracts.' The association, an affiliate of the Confederation of Trade Unions, said it would resist any proposal leading to wage cuts. 'We might mobilise all our members to take industrial action, including a strike,' Mr Ip said. Another workers' union of the telecoms giant, the PCCW Employees General Union, an affiliate of the Federation of Trade Unions, held a meeting last night. Union chairman Leung Ting-to said employees were worried the company would introduce a massive layoff plan. 'It seems the company keeps changing its strategy. At first, it said it had to lower operating costs by 30 per cent. Now it introduces an unpaid leave arrangement that in turn will lead to a wage cut of 10 per cent for employees,' he said. Mr Leung said workers were afraid the company would use staff-performance appraisals in April as an opportunity to sack people. 'Some of our members have heard a new system will be introduced for the appraisals that will make it easy for the company to lay off workers just by saying they are not up to standard,' he said.