Standard Group PLC is gearing up for another round of employee layoffs, marking the second such occurrence in 2023.
This decision comes just months after the media company’s previous round of layoffs in March, which led to the departure of numerous journalists.
A letter from CEO Joe Munene was circulated to all staff, citing the need for a leaner organizational structure as the driving force behind this latest move.
Standard Group Director Julius Kipng’etich attributed the losses to the challenging business environment.
“This is to notify all staff members of the company’s intention to declare redundancies affecting employees across all departments. The affected employees will be duly informed in writing. The process has been necessitated by the restructuring of the business to adopt a leaner, more efficient structure and shifting trends in media consumption occasioned by the technological changes in the digital environment,” the memo read in part.
Also Read: Why Standard Group Fired Peter Opondo After Only 6 Months
Kipng’etich also elaborated that Standard Group PLC is in the process of adapting to changing trends in media consumption brought about by technological advancements in the digital landscape.
Munene assured the staff that the company would ensure the redundancy process and selection criteria adhere to the provisions of the Employment Act, 2007, and the Collective Bargain Agreement (CBA) for union employees.
“The affected employees will be duly informed in writing,” Munene conveyed to the staff, acknowledging that the company had no alternative but to reduce expenses. He added, “They will receive notice pay as per the Contract of Employment, and payment of leave days accrued and not taken at the time of exit. Affected employees will get their pension dues or gratuity in accordance with the Scheme.”
As a result, Munene issued a one-month notice of the intention to declare redundancy effective from Friday, September 1.
Additionally, he disclosed that the company would provide support through private counseling and a free financial management session for the affected staff.
Kenyan media organizations have increasingly resorted to layoffs in recent years due to shifting industry trends and declining profits.
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