South African trade union said on Friday that Naspers’ newly listed pay-television business Multichoice Group had notified workers of its intention to retrench 1,790 workers.
MultiChoice says fewer customers are using the call-in and walk-in centres.
CEO Calvo Mawela also cited increased competition from additional players in the industry and unregulated OTT platforms.
“This has not been an easy decision to make but, in a business driven by advancing technologies, we must continue to drive efficiencies yet be agile enough to adapt to evolving customer needs to ensure that we remain relevant, competitive and sustainable,” Mawela said.
“We must act decisively to align to the change in customer behaviour and competition from OTT services because if we don’t reposition now, we run the risk of being completely misaligned and we put everyone’s jobs at risk.”
The employees were notified on Friday afternoon but the union has not been officially informed, “which makes the process unlawful”, the Information Communication and Technology Union (ICTU) said in a statement.
(Compiled by Johanna Molokomme)
Source: eNCA
