Business / Companies
Econet to discontinue its philanthropic project
05 Nov 2015 at 06:08hrs | Views
ECONET will discontinue its philanthropic project to train young people in computer skills before the company has barely achieved half the initial set objectives due to budgetary concerns.
At least 1,000 young people have been trained and have since graduated from the high-tech computer training facility, Muzinda Hub, to develop various computer programmes.
But Econet Wireless said yesterday that it will not be able to train 10,000 school leavers in computer skills as initially planned because the company can no longer afford the cost of doing so.
Zimbabwe's biggest mobile phone operator recorded a 52 percent plunge in profits to $23 million in the half year to August 2015, after revenue nosedived 17 percent to $323 million during the interim period under review.
Econet Wireless recently cut salaries by 20 percent for all staff and sought a 15 percent cut on prices from suppliers, as it explored ways to reduce operating costs and grow the profits.
The trainees who have just completed their course were trained at Muzinda Hub, set up by Econet Wireless to train young school leavers in designing of in demand high-tech computer programmes such as applications.
The young people, who were educated by Econet Wireless through its support programme for orphans, have been given the opportunity to start earning a living by providing independent programming services to local and global companies.
This is the first time such an initiative has been launched in Zimbabwe.
Econet Wireless Zimbabwe Chief Executive Officer Douglas Mboweni said there were opportunities for those trained to earn money by providing independent programming services to companies who outsource certain of their activities to independent developers.
Already, global companies such as Google, Amazon and Microsoft are spending millions of dollars by outsourcing computer programmes, as they found this to be much cheaper than employing their own developers.
"In Africa, these companies are spending more than $5 billion a year. Countries like Nigeria, South Africa, and Kenya are the leading nations where more than 500,000 young people have already been trained by government programmes to get these type of skills," he said.
Mboweni said although Muzinda Hub is not a for profit activity, it is still expected to be self-sustaining.
"Muzinda was originally set to train 10,000 young people but the company will not be training those numbers because of budgetary constraints," he said.
Mboweni also confirmed that although Econet Wireless will continue to support orphans at schools, it won't be able to continue with job creating schemes like Muzinda Hub due to budgetary constraints.
"Our priority will always be orphans still at school. We'll help those who are young adults, whenever resources permit."
Econet Wireless in partnership with the Masiyiwa family foundation has assisted more than 200,000 orphans over the last 20 years.
It is considered one of the largest such programmes in the world.
Econet Wireless founder Strive Masiyiwa has directed most of his personal income towards the programmes to educate orphans, since he left the country 15 years ago.
At least 1,000 young people have been trained and have since graduated from the high-tech computer training facility, Muzinda Hub, to develop various computer programmes.
But Econet Wireless said yesterday that it will not be able to train 10,000 school leavers in computer skills as initially planned because the company can no longer afford the cost of doing so.
Zimbabwe's biggest mobile phone operator recorded a 52 percent plunge in profits to $23 million in the half year to August 2015, after revenue nosedived 17 percent to $323 million during the interim period under review.
Econet Wireless recently cut salaries by 20 percent for all staff and sought a 15 percent cut on prices from suppliers, as it explored ways to reduce operating costs and grow the profits.
The trainees who have just completed their course were trained at Muzinda Hub, set up by Econet Wireless to train young school leavers in designing of in demand high-tech computer programmes such as applications.
The young people, who were educated by Econet Wireless through its support programme for orphans, have been given the opportunity to start earning a living by providing independent programming services to local and global companies.
This is the first time such an initiative has been launched in Zimbabwe.
Econet Wireless Zimbabwe Chief Executive Officer Douglas Mboweni said there were opportunities for those trained to earn money by providing independent programming services to companies who outsource certain of their activities to independent developers.
"In Africa, these companies are spending more than $5 billion a year. Countries like Nigeria, South Africa, and Kenya are the leading nations where more than 500,000 young people have already been trained by government programmes to get these type of skills," he said.
Mboweni said although Muzinda Hub is not a for profit activity, it is still expected to be self-sustaining.
"Muzinda was originally set to train 10,000 young people but the company will not be training those numbers because of budgetary constraints," he said.
Mboweni also confirmed that although Econet Wireless will continue to support orphans at schools, it won't be able to continue with job creating schemes like Muzinda Hub due to budgetary constraints.
"Our priority will always be orphans still at school. We'll help those who are young adults, whenever resources permit."
Econet Wireless in partnership with the Masiyiwa family foundation has assisted more than 200,000 orphans over the last 20 years.
It is considered one of the largest such programmes in the world.
Econet Wireless founder Strive Masiyiwa has directed most of his personal income towards the programmes to educate orphans, since he left the country 15 years ago.
Source - chronicle
