JOHANNESBURG – MOBILE operator, MTN SA, has decided against renewing labour broker contracts when they expire on July 31.
The number of affected temporary staff is 63.
Executives said MTN SA had informed relevant labour brokers providing temporary resources.
Chief Executive Officer, Mteto Nyati, said the decision was not easy but taken in the best interest of MTN SA’s business whose long-term viability was key to delivering sustainable value.
“It is becoming pivotal that we streamline our operations so as to operational efficiencies and customer service,” he said.
Mteto said MTN SA had fulfilled all its contractual obligations in that regard and directly engaged with the labour brokers to communicate its business strategy.
MTN SA has provided the labour brokers notice of its decision not to renew the contracts and has also provided an undertaking for payment to the labour brokers and their staff for the notice period.
Prior to the announcement, MTN disclosed it was streamlining and modernising its Midrand warehouse operations to improve efficiencies and customer service.
This is part of a drive to focus on the core business while exploring adjacent growth opportunities.
“We thank our partners and their staff for contributing towards MTN SA’s success over the years” said Mteto.
– CAJ News