Peoples Trading Centre (PTC) Limited, a subsidiary of Press Corporation Limited (PCL), one of Malaw’s oldest companies as well as biggest retailer shops is closing down 20 shops as the economic situation gets worse in this tiny landlocked country.
PTC chief executive officer Ken Mthunzi told a news conference at PTC headquarters in Blantyre on Monday that the move is strategic for business growth amid tough economic environment.
Mthunzi however said the 202 workers in these shops will not be fired as they would just be transferred to other shops.
“What we have done is to reposition our business so that we should be making profits from those shops,” Mthunzi said.
“The closed shops were operating at a loss and we thought that it was sensible to maintain them.”
Among the closed shops are Luchenza Municipality in Thyolo, Muloza in Mulanje, Mangochi Express in Mangochi, Malosa outlet in Zomba, Kamwendo in Mchinji, Namitete in Lilongwe .
Other shops that have been closed are Ntcheu, Kasungu, Dowa close Chileka, Chilomoni, Magalasi, Dalton Road in Blantyre.
He said: “The decision is part of the company’s overall strategic initiative of business consolidation and growth aimed at improving customer’s accessibility to the shops and increasing productivity.”
This is not the first time that PTC has reacted in this way due to the economic crisis under the former Minister of Finance and Economic Affair Mathews Chikaonda for Press Group of companies.
Last year most companies have complained of tough times due to economic crisis the country is facing.
Malawi Revenue Authority (MRA) the national tax collector has failed to meet its target as the Peter Mutharika administration grapples with zero aid budget as traditional donors and partners have opted to freeze aid to among other things cashgate.
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