Saturday 23 January 2021

Sykes announces “hundreds of job cuts” in Costa Rica

Sykes Costa Rica, with some 5,000 employees in the country, acknowledged hundreds of layoffs due to the loss of one of its clients for its outsourcing services.

Sykes acknowledged Monday afternoon (May 6) that since last Thursday it has cut “several hundred” jobs in its operations in Costa Rica.

Better times on April 30, a selfie with the prez. From Facebook

However, the company claimed that 80% of that personnel will be relocated to other areas of the company’s services.

- Advertisement -

The measure is due to a reduction in operations with one of the 10 clients that Sykes has in the country, explained the director of Corporate Affairs of the company, Roy Mena.

He added that the total number of employees that would be affected is not yet available since Sykes is in talks with the client in order to determine if there is a total end of the contract or if it will be partial.

Mena recalled that Sykes currently has a little more than 5,000 employees in Costa Rica, in various business parks and office centers, with which it offers outsourcing services to its clients, practically all very strong companies in the United States.

According to the executive, the company maintains its strategy that when a client reduces operations or terminates a contract it is about relocating the affected employees. That system, he said, is being applied at this time. In addition, he assured, on the horizon, there is an option for new contracts with other clients.

- Advertisement -

Although he said that due to confidentiality he cannot reveal the names of customers, he acknowledged that it is a company in the telecommunications sector, which more than 20,000 employees in different countries.

Mena denied problems with the Sykes services or because of the country’s competitiveness. He argued that this is a matter of customer strategy reducing operations with them.

“The operation in Costa Rica was always one of the first three for that company; so it’s just a matter of strategy,” he said.

In addition, explained situations like this occur with some frequency. The issue, he added, is that if 100 or 150 people are affected they move to other services and there is no noise; Now, he explained, there are several hundred and that creates uncertainty among them.

For its part, the Coalición Costarricense de Iniciativas de Desarrollo (CINDE) – Costa Rican Coalition of Development Initiatives, the government organization in charge of attracting foreign direct investment to Costa Rica, through a statement emphasized that these “changes are considered normal within the operation and dynamics of the business and have no direct relation with the results of its local operation, which maintains the solidity and growth projections for other accounts”.

- Advertisement -

The CINDE added that it is already in talks with Sykes to help in the process of relocating workers to other multinational companies in the service sector, since “thanks to the bilingual profile, preparation and experience, they would be quick to locate”. CINDE also stressed that Sykes will try to get a high percentage of the employees that will be affected by the change in the client portfolio to be relocated within the same company.

Mena added that, for those employees who for various reasons do not decide to continue within the company, Sykes guarantees them their full severance package.

- Advertisement -

FACT CHECK:
We strive for accuracy in its reports. But if you see something that doesn’t look right, send us an email. The Q reviews and updates its content regularly to ensure it’s accuracy.

Ricohttp://www.theqmedia.com
"Rico" is the crazy mind behind the Q media websites, a series of online magazines where everything is Q! In these times of new normal, stay at home. Stay safe. Stay healthy.

Related Articles

Costa Rica and Panama in times of Coronavirus

The worldwide pandemic has devastated the world’s health care systems. Poorer...

Puerto Viejo, Limon

Puerto Viejo de Talamanca, Limón, Costa Rica Photo by Silivan Munguarakarama via...

MOST READ

Legislators approve budget to ensure vaccines against covid-19

QCOSTARICA - The Legislative Assembly approved Tuesday afternoon the first extraordinary budget for the fiscal year of 2021, which ensures ¢40.5 billion colones for...

Biden administration braces for new wave of migrants as it rolls out new immigration plans

Q REPORTS - Hours after being sworn in as president, U.S. President Joe Biden reversed several Donald Trump immigration policies by executive action, marking...

Cold continues, this week will be cloudy and very windy

QCOSTARICA - January continues a cold month, as cold pushes linger past the traditional first week of the year. The effect of a new...

The US, Mexico and Guatemala agree to prevent the passage of migrant caravans

Q24N (Guatemala city) The governments of the United States, Mexico and Guatemala agreed on Friday to prohibit the passage of migrant caravans through their...

Costa Rica scientists work on saliva tests to detect covid-19

QCOSTARICA - More than 20 researchers from Costa Rica's public universities have been working on a saliva test with which to more quickly diagnose...

Costa Rica’s tallest building in Costa Rica towers over the National Stadium

At 140 meters height, the tallest building in Costa Rica, the new Leumi Business Center building (under construction), towers over the Estadio Nacional (National...

Dog walking the beach in Santa Teresa

Dog walking the beach in Santa Teresa Beach, Puntarenas, Costa Rica Photo by Ricardo Arce via Unsplash.

Covid-19 contagion rate in Costa Rica drops to its lowest levels in three months: 0.89

QCOSTARICA - The contagion rate, also called the R rate, of covid-19 in Costa Rica has dropped significantly from last week, 25.8%, and to...

U.S. to Require 10 day quarantine for all international travelers

Q TRAVEL - U.S. President Joe Biden signed on Thursday an order mandating, aside from providing a negative Covid -19 test before boarding, all...

Want to stay up to date with the latest?

We would love to hear from you! Please fill in your details and get updates daily in your mailbox. It's that simple!

Log In

Forgot password?

Forgot password?

Enter your account data and we will send you a link to reset your password.

Your password reset link appears to be invalid or expired.

Log in

Privacy Policy

Add to Collection

No Collections

Here you'll find all collections you've created before.