¡Adios! Monster Exiting Latin America
Monster is shutting down its Latin American operations.
“Consistent with our previously announced plans to concentrate our resources on our core business in North American and key European and Asian markets, Monster has decided to close its operations in Brazil and Mexico,” said a company spokesperson. “Monster remains committed to providing talent recruitment solutions to our customers in more than 40 countries.”
This comes on the heels of a pursuing-a-sale of China announcement earlier last month.
“This past weekend, they started phasing out the employer side of the business,” said a source. “Jobs are posted for 30 days, so the job seeker stuff will start deteriorating after that. It’ll conveniently go away entering 2013.”
Monster has operations in Latin America within Brazil and Mexico, but runs job postings throughout 10 countries within the market.
Monster’s Q3 earnings call hinted at changes in emerging markets that have little impact on their larger business in North America and Western Europe. Expect Eastern Europe to face a similar restructuring as Latin America.
The number of employees negatively impacted by the move is unclear, especially since layoffs have been happening over time. However, one former employee quoted a number of “maybe a couple dozen” in the region.
So why not just sell those emerging market properties? According to the most recent earnings call, “the business is at such an early stage that, most likely, that would not result in a sale.”
As far as CEO Sal Iannuzzi losing his seat of power, considering the recent moves in China and now South America, not to mention an ongoing “No Sale” vote by the marketplace? Fahgettaboudit, said the spokesperson. “Any rumors about Sal losing his position as CEO are patently false.”