Datacom New Zealand to cut staff

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Datacom New Zealand to cut staff
Greg Davidson, Datacom

Trans-Tasman IT services provider Datacom is embarking on a restructure of its New Zealand sales teams, with around 20 roles in the country being impacted.

Datacom's Australian operations and teams will not be affected by the restructure, a company spokesperson told CRN New Zealand.

The spokesperson told CRN New Zealand that the company is still in the consultation phase with staff, which has only just started, and cannot provide much detail.

A statement by Datacom said the company is establishing two new teams for the New Zealand market.

They are the Customer Quality and Customer Partnerships teams.

"We are currently in the consultation stage of this process, and details are yet to be confirmed but the vast majority of roles will be reassigned reporting lines, with approximately 20 roles in New Zealand impacted," the statement said.

Datacom said the restructure is due to the company constantly reviewing and evolving its strategy to meet customer needs, like any business.

"With our core focus being on delivering greater value to our customers, we are continuing a new strategy that will see us reshape our customer success and sales teams to help us align closer to deliver on our broader business objectives and create efficiencies in the way we work together as a team," the company said.

For its full 2022 financial year, Datacom reported a small increase in revenue to $1.45 billion from $1.41 billion in 2021, but profit after tax dropped 20 per cent to $25.2 million.

The profit decrease was said to be due to employees being allowed to hold onto, and carry over, annual leave, during lockdowns and border closures, limiting their ability to travel.

In 2022, Datacom had just under 7000 employees.

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