July 6, 2015 / 2:15 PM / 2 years ago

UPDATE 1-CEO of MTN's S.Africa business resigns as strike drags on

(Adds details of strike and comment)

JOHANNESBURG, July 6 (Reuters) - The chief executive of MTN's South African unit has resigned, an internal statement by Africa's largest mobile operator said on Monday, as a strike by 2,000 workers approaches its second month.

Ahmad Farroukh, who took up the post last year, will leave the company by the end of the month, MTN Group CEO Sifiso Dabengwa said in a statement circulated to the company's staff.

Farroukh's departure was unavoidable due to personal and family reasons, Dabengwa said.

The announcement comes as a strike rages on at the company's South African operations, its second-largest market.

The departing executive joined MTN in 2006 and served as CEO of the mobile operator's units in Nigeria and Ghana.

Entry-level staff earlier rejected an 8 percent pay increase offer by the company.

"The strike is now in its seventh week and it is problematic for both sides. We are hoping to meet this week and try and settle issues and address how the 'no work, no pay' issue will be handled," Clyde Mervin, president of the Communication Wokers Union, said.

Shares in MTN was down more than 3 percent by 1358 GMT at 225.32 rand. (Reporting by TJ Strydom and Peroshni Govender; Editing by Louise Heavens and David Holmes)

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