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Job losses as Southland IT service providers merge

Job losses as Southland IT service providers merge

CGNZ's remaining staff will shift from their office in Forth St in coming weeks after a merger with Focus Technology.

CGNZ's remaining staff will shift from their office in Forth St in coming weeks after a merger with Focus Technology.

Redundancies will follow the merger of two of Southland’s largest IT service providers, Focus Technology Group (NZ) and Computer Group NZ (CGNZ).

The two merged after CGNZ sold its Auckland and Tauranga operations to Spark. Focus has now purchased the CGNZ’s Southland assets.

CGNZ was a partner of and traded as Spark Digital in providing IT services to the corporates in Auckland, Bay of Plenty and Southland.

A Spark spokeswoman said the Southland operation of CGNZ shifted away from Spark last year and was operating under its own brand. Spark's customers there are now serviced by wholly owned subsidiary CCL.

Focus had taken on seven out of CGNZ's 25 staff and Sinclair said he understood several others had been offered employment elsewhere within the sector in Southland.

“We’re pleased to be in a position to deliver continuity of service to CGNZ clients as a Southland owned and operated IT service provider,” Focus Technologies Group (NZ) chief executive Rod Sinclair said.

Redundancies were inevitable, Sinclair said, as one of CGNZ’s clients had decided to switch to providing IT service in-house.

Remaining staff would continue to operate out of the former CGNZ premises on the corner of Clyde and Forth Streets, Invercargill, in the short term and would shift to Focus’s Spey St premises during the next few weeks.

“We would like to thank the clients for their business and support in the past, and we look forward to continuing and growing our relationships” Sinclair said.

Focus Technology Group was founded in 1994 by Rod Sinclair, and has 50 staff and five branches located throughout the South Island, with clients in New Zealand and Australia.

Focus offers IT, software, network infrastructure consultancy, project management, software development, support services and cloud-based solutions.


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