Goodwill: To shut key temporary worker dispatch unit
TOKYO, June 25 (Reuters) - Troubled Japanese staffing firm Goodwill Group Inc 4723.T, which has been trying to turn itself around with the help of Cerberus and Morgan Stanley, said on Wednesday it would close scandal-hit Goodwill Inc., a subsidiary that dispatches temporary workers.
The announcement comes a day after Goodwill Inc. paid an undisclosed fine for allegedly breaching regulations by sending temporary workers to a company knowing they would be sent to other companies.
The Ministry of Health, Labor and Welfare has been moving to revoke Goodwill Inc.'s temporary staff business license, according to local media reports. A spokesman at Goodwill Group said the ministry has not informed the company of such an action.
Goodwill Group, which had 62 consolidated subsidiaries as of last December, incurred an operating loss of 2.67 billion yen on sales of 465.41 billion yen in the nine months ended March 31, as Goodwill Inc. suspended operations at all its offices for between two and four months earlier this year on a government order. (Reporting by Yumiko Nishitani)
