Ster-Kinekor to retrench more than 200 employees
Just two years after exiting business rescue, Ster-Kinekor plans to lay off 236 employees, approximately 32% of its workforce, and shut down up to nine cinemas in Gauteng, KwaZulu-Natal, and the Western Cape.
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This comes after challenges such as a tough economic climate, load-shedding, financial constraints, and delays in movie releases due to Hollywood strikes which led to decreased cinema attendance and revenue.
The nine cinema locations earmarked for closure:
- Bayside (WC)
- Boardwalk (KZN)
- Mimosa (KZN)
- Shelly Beach (KZN)
- Cedar Square (GP)
- Maponya (GP)
- Matlosana (GP)
- Southgate (GP)
- Sterland (GP)
This news comes during a climate where streaming services such as Netflix, Disney and Amazon Prime have become more popular for blockbusters, ultimately affecting cinema numbers.