MTN South Africa said on Friday that it will cut 63 temporary jobs filled by labour brokers at its Midrand warehouse operations as it moves to streamline and improve the distribution of devices to consumers.
It said it is modernising the facility to improve efficiencies and customer service.
“This business model change has resulted in the discontinuation of some operational processes,” MTN said. “As such, MTN South Africa has decided not to renew labour broker contracts when they expire on 31 July.”
The telecommunications operator said it has informed relevant labour brokers providing temporary resources.
“The decision was taken in the best interest of MTN South Africa’s business, whose long-term viability is key to us delivering sustainable value,” said CEO Mteto Nyati.
“It is becoming pivotal that we streamline our operations so as to [improve] operational efficiencies and customer service.”
The company said it has fulfilled all of its contractual obligations and has also engaged with the labour brokers to communicate its business strategy.
“MTN South Africa 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.” — © 2016 NewsCentral Media