The Standard Group has issued notice to all staff of its intention to declare redundancy as the listed company struggles to remain afloat.
In an internal memo on Friday, September 1 and seen by The Kenya Times, the giant media firm said the plan to trim its payroll will cut across all departments.
“This is to notify all members of staff of the Company’s intention to declare redundancies that will affect employees across several departments. The affected employees will be duly informed in writing,” said Standard Group Acting Chief Executive Officer Joe Munene.
According to Munene, who took over from Orlando Lyomu who resigned mid this year, several factors pushed the company to let go some of its staff in the looming mass firing exercise.
“This process has been necessitated by the following reasons: Restructuring of the business to adopt a leaner, more efficient structure. Shifting trends in media consumption occasioned by technological changes in the digital environment,” said Munene who previously served as SG’s Managing Director in charge of the broadcast division.
Also Read: Ex-KTN Anchor Grace Kuria Makes TV Comeback
It will be a fair process – Standard Group
Further, the Mombasa Road-based media house promised that the process of kicking out some of its dependable employees will be fair and in accordance with the laws of the land.
“The Company will ensure the process and the selection criteria are fair and in compliance with the provisions of the Employment Act, 2007, and the Collective Bargain Agreement (“CBA”) for union employees.”
ADVERT
In addition, the Acting CEO gave an outline of how the Moi-owned firm will pay all employees that the company will declare redundant:
- Payment for days worked until the date of exit.
- Severance pay of 15 days (or as indicated in the CBA for employees who are members of a union) for every completed year of service.
- Notice pay as per the Contract of Employment.
- Payment of leave days accrued and not taken at the time of exit.
- Pension dues or gratuity in accordance with the Scheme Rules or Contract of Employment, respectively.
Following one month’s notice of the intention to declare redundancy, the company also assured its staff that it will stand with them and offer psychosocial support as they transition.
Also Read: Regional Company Appoints Serah Katusya New CEO
“Support via private counseling and a free financial management session will be made available for the affected staff. Should you require further information, please contact the Human Resources Manager.
This is not the first time the company has declared redundancies in less than two years as the management struggles to navigate a rough economic environment.
Standard Group owns some of the most popular media brands in Kenya, including The Standard Newspaper, KTN Home, KTN News, Radio Maisha, Spice FM and Vybez Radio.
Over the past couple of years, the company has grappled will salary delays and mass losses that have seen it lose some of its talent to competition.
