Standard Group Denies Reports Of Closing Down & Firing All Its Employees

Standard Group Limited on Wednesday, March 27 denied social media claims that the organisation was shutting down completely for the first time since its establishment in 1902.

The organisation, through its Standard Digital social media handles, cautioned users against falling for an advanced method of propagating fake news, using a memo and manipulating it to make it look like it was real.

"This is NOT a genuine memo from The Standard Group PLC or any of the brands associated with it. It is a manipulated post. Be cautious NOT to fall for propaganda and deep fakes," Standard Digital wrote.

Deep fakes refer to a form of artificial intelligence called deep learning to make images of fake events.

A memo subsequently issued by the Group’s Acting Chief Executive Officer, (C.E.O), Joe Munene revealed that the propagators were trying to sell a false narrative.

“The Standard Group PLC wishes to inform its audiences, customers, suppliers, staff, shareholders and all other stakeholders that information circulating on social media touching on the integrity of the Company, its Management and Staff is fake”, read the statement.

The media house further confirmed that services across all its broadcasting platforms including TV and Radio would continue uninterrupted, adding that the malicious attacks were preventing the media house from performing its watchdog role.

“These are malicious attacks, whose intention is to derail our unflinching commitment to the mission of journalism and the pursuit of the public interest,” stated Munene.

It however took note of the tough operating environment in the Kenyan media industry as a whole which has affected its usual financial operations and led to the accumulation of pending bills.

“Further, despite the hostile business environment facing the media industry, caused largely by the problem of pending bills and a slowdown in the overall economy, we continue to transform our business to best serve our customers," explained Standard Group.

The fake notice had earlier claimed that Standard Group's board opted to invoke the Insolvency Act (No. 18 of 2015) and signal the liquidation of the entire media company, which wields renowned media channels such as KTN, KTN News, Radio Maisha, The Nairobian, The Standard, KTN Farmers TV, BTV, Spice FM, Vybez Radio and Berur FM.

It further alleged that Munene was tasked to declare redundancies across all departments, with all its employees to be duly informed of this in writing.

"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," the notice claimed.

This would have been the culmination of the group's longstanding financial woes with employees from the media company going more than half an entire year without receiving their salaries.

The Kenya Media Sector Working Group (KMSWG), while expressing its strong opposition to the government's directive to have all its adverts aired via state-owned KBC, warned that this was denying young independent media houses of crucial finances to sustain their day-to-day operations, forcing them to drastic measures including closures, job losses and reduction in the media landscape.

"This not only undermines the public's right to access diverse information but also stifles economic activity and innovation within the media sector.

"A vibrant independent media landscape fosters a healthy business environment, attracting new investment and promoting economic growth. By crippling this sector, the government is shooting itself in the foot," the group stated on Wednesday, March 13.

Stakeholders from the Kenya Media Sector Working Group addressing the media on March 13, 2024. /KENYA EDITORS GUILD