Chariot retrenches 48 staff, closes offices

Adelaide-based ISP Chariot has closed nine offices in NSW and Queensland and retrenched 48 full time and casual staff following a company restructure announced Tuesday by new CEO Garry Hersey.

The changes follow the departure of former boss Robert Horlin-Smith. Recently, the Australian Securities and Investment Commission laid charges against Horlin-Smith over his actions while he was company secretary at Normans Wines between 1994 and 1999.

The restructure was expected to result in net pre-tax savings of over $1 million this financial year for Chariot and $1.3 million annually thereafter net of costs, Hersey said in a statement to the ASX.

“The company’s ability to lead the market is being stifled by its overhead structure and the cost of debt used by the company to acquire businesses over the past few years.

“Our existing office network is primarily a consequence of that previous acquisition program and we are in effect completing the integration of those businesses into Chariot,” he said.

Three regional Chariot centres remain in Adelaide, Ballarat and The Gold Coast. Chariot said it was offering staff the opportunity to become resellers in “the areas affected.”