{"id":7242,"date":"2012-03-05T09:25:58","date_gmt":"2012-03-05T09:25:58","guid":{"rendered":"http:\/\/businesstech.co.za\/news\/?p=7242"},"modified":"2012-03-05T10:22:20","modified_gmt":"2012-03-05T10:22:20","slug":"absa-takes-gijima-project-in-house","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/it-services\/7242\/absa-takes-gijima-project-in-house\/","title":{"rendered":"Absa takes Gijima project in-house"},"content":{"rendered":"

Listed ICT company, Gijima<\/a> (GIJ), said Monday (March 5, 2012) that as much as 50% of a desktop services contract with its largest private-sector client, Absa<\/a> (ASA), is being insourced to the group.<\/p>\n

The company said it has rendered several outsource services to the bank for the past 10 years, and has delivered in accordance with the relevant contracts.<\/p>\n

\u201cA portion (approximately 50%) of the desktop services contract with Absa is being insourced to Absa. The company will continue delivering services on the remainder of this contract,\u201d Gijima said in a statement.<\/p>\n

The group said that, of the 200-plus Gijima employees specifically dedicated to working on this contract, a significant number of them will go through a Section 197 process, in terms of the Labour Relations Act, that will see them transferred to Absa – as permanent employees of Absa.<\/p>\n

\u201cGijima will continue working with Absa, and we look forward to tendering for new business with Absa,\u201d it said.<\/p>\n

Absa announced last month that it would reshuffle its IT division, with employees asked to reapply for positions within that department.<\/p>\n

In an interview with Moneyweb, following the announcement of its results last month, Jonas Bogoshi<\/a>, CEO of Gijima, said that the group was in the process of an insourcing agreement with Absa.<\/p>\n

\u201cWe\u2019re always quite clear with them that that\u2019s not a part of business that we are quite profitable on, so they can in-source it. But as they in-source part of the business we\u2019re looking at growing business somewhere else,\u201d he said.<\/p>\n

On the size of the Absa contract, Bogoshi told MoneyWeb\u2019s Alec Hogg: \u201cWell, obviously I won\u2019t talk about the exact number, exact value of that Absa contract but you\u2019re right it was well north of R100m. In the current negotiations I don\u2019t see it going below R100m at all.\u201d<\/p>\n

On February 21, Gijima highlighted a return to profit, reporting diluted headline earnings per share of 3.11 cents for the six month ended December 2011 after a loss of 28.13 cents a year ago.<\/p>\n

Revenue increased by 7.5% to 1.337 billion, with earnings before interest, tax, depreciation and amortisation reflecting an 83.5% at R78.2 million.<\/p>\n","protected":false},"excerpt":{"rendered":"

Listed ICT company, Gijima (GIJ), said Monday that as much as 50% of a desktop services contract with its largest private sector client, Absa (ASA), is being insourced to the group.<\/p>\n","protected":false},"author":9,"featured_media":7243,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[31],"tags":[29,641,26,945,1834,1847],"class_list":["post-7242","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-it-services","tag-absa","tag-gijima","tag-headline","tag-it","tag-jonas-bogoshi","tag-moneyweb"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/7242","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/9"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=7242"}],"version-history":[{"count":4,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/7242\/revisions"}],"predecessor-version":[{"id":7245,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/7242\/revisions\/7245"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/7243"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=7242"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=7242"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=7242"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}