An internet-based tax refunds company is proposing to make 67 people redundant at its call centre in Oamaru.
Taxrefunds.co.nz Ltd put a proposal to staff at a meeting in the Oamaru Opera Houseyesterday telling them employment could be reduced from 89 to 22.
The company set up its call centre in Oamaru in August last year.
It is a New Zealand Inland Revenue Department-approved tax agent.
Chief executive Matthew Crosswell said a new level of automation had dramatically reduced the need for manual processing of tax refund applications.
As a result, the company announced the restructuring proposal.
At present, it employs 46 full-time and 43 part-time staff.
Under the proposal, employment contracts at the call centre would end on December 23, with all staff given the opportunity to apply for new positions.
The call centre would remain in Oamaru.
"We're an internet-based company. Our business model was always to strive for a high level of automation so we can offer the lowest commercial rates available to customers wanting to claim back their overpaid tax," Mr Crosswell said.
During 2009, the company had been able to increase applications it could process automatically from 70% to more than 90%.
"During the next two weeks, we estimate we'll process around 275,000 tax refund applications, with over 260,000 of those, around 95%, being processed without the need for manual intervention," he said.
Staff had been given until 5pm tomorrow to respond to the proposal.
The final decision would be presented to staff on Monday.
