Online casino operator Casino Enterprises who owns Piggs Peak and Volcanic Gold denied allegations by employees that they have been offered poor severance packages.
Howard Berchowitz, Managing Director at Casino Enterprises denied the statements by several employees saying the company violated labor laws, saying:
“Allegations that I have grossly flouted labour laws and offered low retrenchment packages for the staff are untrue," the gambling executive said. "I am not an authoritarian and strongly believe in democratic principles; therefore there could have been no way I would give the staff retrenchment packages without consultations."
Casino Enterprises is reportedly losing up to 90% of its business after an appeal before a South African court was lost. The lost case effectively makes it illegal to target South African players for gambling purposes. More than 70 employees are set to lose their jobs at the end of November. Several have complained that the severance packages are of poor quality.
Berchowitz said, “I am amazed by the reports that the members of staff are furious over the voluntary exit packages they have been offered because these are double what they are supposed to receive according to statutory law,” he said.
“However, it is a matter of choice, if they do not want what we have offered we will use the law to set the record straight and revoke our offer.”
Employees have until Tuesday to decide whether or not to accept the severance packages.