Sun International has begun a formal retrenchment consultation process as it seeks to reduce costs and improve the profitability of underperforming casino properties.
Sun International has begun a formal retrenchment consultation process as part of a restructuring aimed at reducing costs and improving the profitability of some of its underperforming casino properties.
The JSE-listed gaming and hospitality group disclosed the move in its interim results for the six months to June 30, released on Monday. Sun International said it was implementing a lower-cost, more centralised operating model, with the process taking place in terms of Section 189A of the Labour Relations Act.
The group said the restructuring followed the introduction of its “Casino Lite” operating model, which is intended to improve profitability at smaller properties.
The initiative includes changes to gaming operations, efforts to increase revenue by bringing food and beverage outlets in-house, as well as cost-cutting measures and workforce restructuring.
