A software company in South Africa, where the ANC government is trying to oust its former president, says it will close down and lay off up to 40 percent of its workforce, citing “political reasons”.
The decision, made by Erp, is the latest in a series of political and economic turmoil for the once-powerful black nationalist movement in South African politics.
Erp has been accused of political interference in a range of political matters, including elections, a controversial law on the country’s electoral college, and a dispute with the government over the future of the national broadcaster.
In a statement, Erp said it had taken “all necessary steps” to “terminate operations and terminate employees and to terminate any contractual relationships with the former leadership of the company”, and said it would also cut ties with other South African companies, including SAP.
It said it will continue to offer support to the ANC, as well as the EFF, the EFF-led opposition party.
“We have chosen to terminate our operations because of political reasons,” the company said.
“We believe that the ANC’s continued existence is a threat to the very survival of our business and to our shareholders.”
The ANC is headed by President Jacob Zuma, who was appointed to the position in April.
The ruling African National Congress (ANC) has repeatedly accused the EFF of attempting to undermine the government with a campaign of intimidation, which it said was aimed at stifling free speech.
The ANC also said Erp’s actions violated the party’s code of conduct.
“Erp’s decision to terminate operations demonstrates its disregard for the rights of South Africans,” ANC deputy president, Gwede Mantashe, said in a statement.
“Erp will only serve its own interests and those of its shareholders.
It will not be able to do business with any company or individuals with whom it has business relations.”