South African Telecommunication firm, MTN, has dismissed 280 workers, about 15% of its workforce from its Nigerian unit. This is in line with plans to shift its focus towards Information and Communications Technology (ICT) and digital operations.

According to sources who asked not to be named, the layoffs were necessary given the recent changes in the telecoms industry. The sources stated that most of the affected workers who had served under the company between five and 15 years were given severance pay between N5 million and N15 million. The company would hire new employees, with knowledge of its new goal.

It should be recalled that MTN, in 2016, was ordered by the government to pay a $1.7 bn fine for failing to deactivate about 5.2 million unregistered SIM cards. So far, the operator has paid two tranches of $253.9 million and $98 million respectively to the Nigerian government. It is expected to clear the fine in six instalments over three years.

Anita Fatunji