March 28, 2024

Compass Mining lays off 15% of employees and cuts wages

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Compass Mining lays off 15% of employees and cuts wages

Mining company Compass Mining announced that due to the fall in the cryptocurrency market and business profitability, it is reducing 15% staff and reduces the salaries of top managers.

The company noted in its statement thatThe salary reduction for department heads will be up to 50%. However, the CEO and CFO were recently fired from the company due to “numerous failures.”

“Although very painful, these changeswill allow Compass to remain flexible and continue to have a strong position in an emerging market that is currently very challenging for all participants in the mining industry,” the statement said.

At the same time, the company’s management admits that Compass Mining “grew too quickly, while the services did not reach the required quality.”

“When we launched, we were amazedlevel of demand for our services. Of course, we tried to meet demand and plugged any operational, financial and technological problems simply by recruiting people,” writes the company’s management.

Let us remind you that Compass Mining previously haddata centers in Russia. However, at the end of April, due to American sanctions, the company decided to sell its business in the Russian Federation. The power of the mining farm was estimated at 12 MW.