Kenya Wall Street

Standard Group plans to declare some of its employees redundant.

Standard Group, considered the oldest media house in Kenya, has announced plans to declare some of its employees redundant.

An internal memo to all staff, dated 18th March,
2020 and signed by Mr Orlando Lyomu, the Group’s CEO, attributes intention to
declare 170 employees redundant to a rapidly changing digital media landscape,
automation and a tough regulatory and business environment.

One of the dominant players in the print media environment
for years, Standard Group and other mainstream media houses, are finding
themselves competing with numerous online publications and alternative media
channels, all competing for attention from younger and more techno-savvy media

The first batch of employees to be offloaded in a month’s
time, will be paid for work done until their exit date, severance pay of 15
days or as indicated in the contracts of unionized staff, for leave days
accrued as well as pension dues as per the scheme rules.

“The redundancy will be done in phases and affected employees duly notified in writing,” said Mr Lyomu in a statement.

Standard Group rolled out a voluntary retirement scheme for
its workforce and then followed with redundancies for those who failed to take
up the offer.

A rapidly changing media environment appears to have caught
Standard Group and other mainstream media houses, napping, as new players nimble
at their audiences and advertising revenue.

Its knee-jerk reaction to launch new radio and TV channels has not helped matters.

ALSO READ: Media firm Standard Group Issues Profit Warning

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