Latest to suffer the unforgiving Coronavirus (COVID-19) wrath are Radio Africa Group employees who from April receive a 20-30pc pay deduction due to the companies recent struggles in raising revenue.
In a Memo seen by mchipuko Radio Africa Group CEO Patrick Quarcoo said the move would help shield the company against firing employees. “We all, therefore, have a collective responsibility to each other to save as much money as possible in order to weather the COVID-19 pandemic without any of us having to be declared redundant within this financial year.”
The CEO says the firm has recorded dropped advertisement revenue which the company relies on to keep running. “Our radio stations, TV station and newspaper, in fact, our whole media business, relies on this advertising money to survive.” He stated.
“Consequently and in order to ensure the business survives and sustains itself in the days ahead,” the CEO says management has ‘come up with the following measures that will apply to all employees immediately’:
- “Effective 1st April 2020, all employees earning a gross salary of more than Kshs. 100,000/ will take a 30% pay cut.”
- “Effective 1st April 2020, all employees earning a gross salary of less than Kshs 100,000/= will take a 20% pay cut.”
“I take this opportunity to assure you that your sacrifice is not in vain. The pay cut we are all taking should be temporary and should be reversed once the economy returns to normalcy and our revenues return to prepandemic levels. This is an interim measure that will be reviewed periodically based on revenue and cash flow generated and the state of the business going forward.” The letter reads.