Worker anger is intensifying inside WiseTech Global as employees call on the chief executive and board to end delays and clarify mass redundancy plans. Staff were stunned in February when the ASX-listed technology group revealed up to 2000 roles, nearly 30% of its workforce, would be cut.
Nearly three months later consultation deadlines keep getting pushed out, and employee representatives say union approaches about the restructure go unanswered. Anxiety is growing as people wait in limbo.
Leadership frames the cull as part of a sweeping shift toward heavier use of artificial intelligence across WiseTech's logistics software products. That strategy suffered a serious hit when global freight forwarding giant DSV confirmed it would abandon the CargoWise platform.
DSV instead plans to rely on internally developed systems built by Schenker that also incorporate AI capabilities. Losing such a flagship customer raises uncomfortable questions about WiseTech's competitive edge in automation.
Market reaction was swift once the DSV move became public on Tuesday night. WiseTech shares dropped about 3% to $38.61 on Wednesday, reflecting investor concern.
Analysts at Jefferies estimate the lost contract is worth around $US150 million, or $207 million, in annual revenue to the software group. They calculate that amounts to roughly 9% of WiseTech's current revenue base and about 10% of its forecast 2027 earnings before interest, tax, depreciation and amortisation, a meaningful dent in the growth story.
