The Standard Group has announced its intention to declare redundancy, impacting staff across various departments after registering losses in the H1 2023.
In a memo seen by Swala Nyeti issued by Group Chief Executive Officer Joe Munene, the company cited the need to adapt to a leaner, more efficient business structure in response to evolving media consumption trends driven by digital technology advancements.
The company has assured that the redundancy process will adhere to the guidelines set out in the Employment Act of 2007 and the Collective Bargain Agreement (CBA) for union employees.
"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.," the memo stated.
Employees who are declared redundant will receive a comprehensive compensation package, which includes:
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(i) Payment for days worked until the date of exit.
(ii) Severance pay of 15 days (or as indicated in the CBA for union members) for every completed year of service.
(iii) Notice pay as per the Contract of Employment.
(iv) Payment of accrued and unused leave days at the time of exit.
(v) Pension dues or gratuity in accordance with the Scheme Rules or Contract of Employment, respectively."
This announcement comes with one month's notice, effective starting from September 1, 2023.
In a show of support for the affected staff, the company will offer private counselling services and free financial management sessions to assist them in navigating the transition.
"Support via private counselling 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," the memo read.
Employees seeking additional information or clarification on the process are encouraged to contact the Human Resources Manager.
The move by the Standard Group reflects the dynamic nature of the media landscape, which has seen a significant shift towards digital platforms in recent years.
This restructuring effort aims to position the company for continued success in an ever-evolving industry.
As the Standard Group takes these steps to ensure its long-term viability, it remains dedicated to maintaining its commitment to quality journalism and serving its audience effectively.
Media analysts will be closely monitoring the developments within the Standard Group as it moves forward with its plans to adapt to the changing media environment.
