Troubled IT firm slashes half its staff
Sixty-two New Zealand staff at troubled software intelligence company Wynyard Group have been axed by its administrators.
Wynyard administrator Grant Graham said the Auckland, Wellington and Christchurch redundancies came as Wynyard's New Zealand operations continued to "cash burn".
"In its existing form, the New Zealand operation is not profitable, which limits our options in terms of sale prospects and processes," he said.
"We have received interest for a number of the group's assets but given the cash deficiencies we face, we will be unable to maintain the ongoing cost of the staff structure."
Shares in Auckland-based Wynyard Group, which develops software used by governments and companies to fight crime and corruption, plunged to 21.5 cents when trading in them was halted this month.
The company had burned through cash and struggled to deliver on revenue guidance.
Logic Funds manager Greg Marshall said on October 27 that more than 1,000 Wynyard shareholders had put their names forward to join a proposed class action against the company's directors.
Christchurch staff were hit hardest by Monday's lay-offs as 41 positions were lost, while administrators cut 19 jobs in Auckland, two in Wellington and a further 10 in Dubai.
Sixty staff remain employed with the company.