Dis-Chem Announces Workforce Reductions Impacting Over 500 Employees

Dis-Chem, a retail pharmacy group, has revealed that more than 500 employees are being invited to participate in retrenchment consultations as part of a restructuring strategy.

The company elaborated that this decision came after a thorough evaluation of its operational model and organizational structure to enhance alignment with its long-term business objectives.

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Dis-Chem to Generate New Roles During Restructuring

CEO Rui Morais emphasized that this initiative does not necessarily indicate major job losses.

“Our ongoing effort is designed to develop a new head office operating model, which will result in the creation of an additional 200 positions in critical departments that have seen underinvestment,” he remarked.

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Morais indicated that the restructuring aims to foster increased accountability and improve integration across the organization.

He noted that the employees impacted represent roughly 2.4% of the overall workforce, assuring that those in retail outlets and distribution centers will remain unaffected.

Consultations Underway as Process Advances

Morais, who succeeded Ivan Saltzman as CEO in 2023, pointed out that this process is still in the early stages and may take several months to complete.

“Dis-Chem is presently in the initial phases of this regulated procedure, which can be protracted,” he stated.

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“Unfortunately, the notices given to the affected employees must be very direct and rigid. Our aim is to position Dis-Chem optimally for future growth and success in line with its strategic priorities.”

Discussions with the affected employees are ongoing.

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