Standard Media Group To Initiate Mass Firings

Standard Media Group (SMG) has announced that it intends to fire staff across various departments.

In an internal memo addressed to all staff on Friday, September 30 and seen by Viral Tea, the Mombasa road-based media house revealed that it intends to declare redundancy owing to the disruption of its business in 2020 and 2021 as a result of the Covid-19 pandemic which it added has continued to negatively impact its revenues.

SMG added that it is restructuring the business to adopt a leaner and more efficient structure.

"The company will ensure the process and the selection criteria is fair and in compliance with the provisions of the Employment Act, 2007 and the Collective Bargain Agreement (CBA) for union employees. All employees who will be declared redundant will be paid as follows," it stated.

The affected employees will be paid for days worked until the date of their exit. They will also get severance pay of 15 days or as indicated in the CBA for employees who are members of a union, for every completed year of service.

They will also be offered notice pay as per the contract of employment as well as payment of leave days accrued and not taken at the time of exit.

They will also get pension dues or gratuity in accordance with the Scheme Rules or Contract of Employment respectively.

"The company is therefore giving one (1) months' notice of the company's intention to declare redundancy with effect from the date hereof. The redundancy is expected to affect employees across various departments and will be undertaken in phases. The affected employees will be duly informed in writing," added the statement.

Private counselling sessions will be available for the affected employees in addition to free financial management training within the month.

The decision comes amidst a crisis brewing in SMG as alleged financial constraints saw staff experience delays in receiving their monthly salaries.

Sources at the media house had informed Viral Tea on Wednesday, September 7 that they did not receive their dues for the month of August, mostly packed with the general elections on Tuesday, August 9.