By Antynet Ford
Over three hundred employees across various departments of the Standard Media Group are expected to be affected by a redundancy announced by the company.
In a notice seen by Corporate Watch on Wednesday, the Standard Media Group Board stated that the redundancy will take effect on August 31.
“The redundancy notice takes effect upon expiry of the one-month notice issued today (July 31, 2024) and is expected to affect more than 300 employees across various departments. All the affected employees will be duly informed in writing.” The Board said in part.
According to the notice, the affected employees will receive payment for days worked until the date of exit and 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 receive notice pay as per the contract of employment, payment of leave days accrued and not taken at the time of exit and pension dues or gratuity in accordance with the Scheme Rules Contract of employment respectively.
The Board explained that in reaching the decision, it took into consideration the difficult operating environment and its long-drawn effect on revenue generation.
SG board noted that the situation has been witnessed on the back of shifting trends in media consumption, occasioned by technological changes in the digital media landscape and emerging consumer preferences which have necessitated a rethink of its business model.
The Group exuded confidence that the reorganisation of the business through restructuring will place it in good stead by adopting a leaner, more efficient structure for better performance and growth.
“Coupled with the new leadership that is coming on board, we consider the reorganisation of our business as a necessary step intended to ensure business stability and continuity in the coming months as the Group strives to sustain and enhance the quality of journalism it offers.” They said.
Additionally, the Board announced that it will rationalise its products to ensure that they remain aligned with the media landscape.