MXit in talks with staff over retrenchments
2012-12-07 13:09
Cape Town - The social network MXit is in talks to retrench
some its workers, it confirmed on Friday.
A staff member told News24 anonymously that "the
writing has apparently been on the wall for some time now, so it hasn’t come as
too much of a shock to staff".
Several departments have been served with voluntary
retrenchment packages.
Mxit will be paying them out till the end of the year and
several months thereafter.
Staff members have been asked not to speak about the
retrenchments until the process has been finalised.
Departments that are affected by the retrenchments include
Support and Provisioning and Graphics.
Legal process
Sarah Rice, Head of Communications at MXit, told News24 she
cannot confirm anything until Monday.
"We first need to complete the legal process. We are in
conversation with some of the staff but can only give comment on Monday."
This comes a couple of months after Alan Knott-Craig Jnr
stepped down as CEO of Mxit in October, barely a year after he bought it
through his investment company, World of Avatar (WoA). He also parted ways with
WoA.
“While the shareholders and I share the same vision, we
differ on how to get there. Therefore, I agreed to go my own way. I wish them
all the best for the future,” Knott-Craig Jnr said in a statement at the time.
Chief financial officer Francois Swart will be acting as CEO
until a replacement for Knott-Craig is found.
