Internet Solutions set to retrench staff

Internet Solutions has begun a restructuring that is likely to lead to retrenchments. The company may lay off as many as 200 staffers, TechCentral has learnt from two separate sources with knowledge of the developments.

Support and installation teams are said to have been given letters and asked to reapply for their jobs. A well-placed source said the impending layoffs come after the Internet and telecommunications provider, which is owned by Dimension Data, failed to meet earnings forecasts.

The letters were served on affected employees earlier this week, one of the sources said.

Market talk about possible retrenchments first surfaced in late June. At the time, Internet Solutions MD Saki Missaikos said in an e-mailed response to questions from TechCentral that it is not the company’s policy to comment on speculation.

However, on Thursday Missaikos confirmed that the company announced to staff on Tuesday this week that it is “entering a formal consultation process to reorganise the business”.

“Given we are early in the process, we unfortunately cannot confirm the final impacted numbers,” he said.

Dimension Data acquired 100% of Internet Solutions — then known as The Internet Solution — in January 1998 in deal valued at over R400-million. Dimension Data is owned by Japan’s Nippon Telegraph and Telephone Corp.  — © 2018 NewsCentral Media

Source: techcentral.co.za