The Standard Group has served a notice to its employees which was published on its online platforms. It has declared redundancies due to the harsh economic times affecting the media industry and the country. The media house revealed that over 300 employees would be affected by the matter above.
The media house, one of the oldest in Kenya, explained that the move was necessary following reduced income generation. They are now building a lean and efficient workforce.
Details Of The Dismissal
- The employer clarified that it would be paying the pending pension dues to the affected employees.
- The laid-off workers were given a one-month notice.
- The mass layoff will take effect on August 31st.
- Despite being laid off, the employees would be entitled to some benefits as they exit the company.
- Some of the benefits include: payment for days worked until the date of exit and employees with pending leave days will still be compensated their salaries (paid leave).
- Pension dues or gratuity will be paid in full by the Scheme Rules Contract of employment.
“As part of its compliance procedures, the Standard Group PLC issued a notice of intention to declare redundancy as stipulated in section 40 (1) of the Employment Act, 2007.
“In reaching this decision, we took into consideration, the difficult operating environment and its long-drawn effect on revenue generation,” read the notice.
More Changes Incoming
There are still a lot of incoming changes as the media house undergoes in-house restructuring. The changes will affect all its products as a priority of the company shifts to its digital media operations, which are currently facing stiff competition from content creators. Media as a whole is undergoing metamorphosis as the world embraces new ways of consuming information and entertainment.
The Mombasa Road-based media house also owns KTN Home, KTN News, The Standard and The Nairobian newspapers, Radio Maisha and Spice FM.
The move comes barely two weeks after Standard Group employees staged a strike, protesting mounting salary arrears.
Mid this month, allegedly journalists from SMG were joined by other staff to paralyze normal operations at HQs along Mombasa Road. They disrupted a LIVE bulletin. This forced the news anchor to take a break cutting short the news.
Earlier in the month, employees from Radio Maisha, Spice, Berur, and Vybez Radio also dropped their mics to protest payment arrears dating back to June of 2023. Music played in the background with no presenter on air.
Stiff Competition in the Media Industry
Of note, currently, many notable media houses are undergoing internal restructuring and layoffs of employees. Another leading media group also laid off its workers in June.
Similar to Standard Group, Nation Media also cited tough economic times. They had run out of options and their decision to sack their employees was a tough one. Dropping revenues forced the management to fail to honor their contractual agreements. The dwindling income has hence forced the need to transition to digital media which is rapidly evolving all around the world.
