(CercleFinance.com) – Trading in the Telepeformance stock resumed on a surge of more than 10% on Friday morning, investors returning to the issue after its heavy dropout the day before.
The specialist in customer experience management had to ask yesterday for the suspension of its share price, which then fell by more than 33% due to a massive sales movement caused by the opening of an investigation into the working environment within its Colombian subsidiary.
In order to allay investor concerns, Teleperformance has announced the launch of a 150 million euro share buyback program intended to support its share price following this decline deemed ‘excessive’.
Regarding the Colombian investigation, the group says it has not received any official notification from the Colombian government, assuring that its local management team complied with the law.
At a conference last night, the company’s management tried to reassure analysts and investors about the implications of the investigation.
‘Teleperformance intends to better inform the market on the full compliance of its activities in content moderation’, explain the RBC teams, who participated in the meeting.
‘If that doesn’t work, they don’t rule out retiring from the content moderation business’, they add.
In a message posted on Twitter, Edwin Palma Egea – the Colombian vice-minister in charge of labor relations – announced the opening of an investigation into the company’s professional practices.
According to Time Magazine, this decision would follow testimony from the teams responsible for moderating content on the TikTok video sharing platform.
These employees, who reportedly earn just $10 a day, are reportedly regularly confronted with images of murder, child abuse and sexual violence in the course of their work.
‘Teleperformance claims that only one content moderation process in a million is likely to expose a human moderator to ‘unacceptable’ content, RBC continues.
‘Clients’ artificial intelligence systems filter 97% of this serious content, which means that Teleperformance teams only have to deal with the remaining 3% of this gray area’, conclude the analysts.
RBC notes that content moderation represents about 7% of the company’s total turnover, for a total workforce of 15,000 people, including 2,400 people in Colombia.
After gaining more than 10% when it resumed trading, around 9:15 a.m., the title still showed a 7% increase around 9:50 a.m.
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