By Spy Uganda
The Coronavirus pandemic which broke out in Uganda and several other countries has affected numerous companies and many of them are closing down, while others are scaling down on human resources as way of making ends meet.
Government-owned Vision Group, the owners of New Vision and several other companies have not been spared either!
As you read this, Robert Kabushenga, the Chief Executive Officer (CEO) of Vision Group, has announced salary reductions for all staff working not only for New Vision but also other media outlets owned under the Vision Group franchise.
The revelation was made in a Memo dated April 30th, 202o, issued by Kabushenga, which reads thus;
I hope you are well and safe, I want to thank you for cooperating with all the measures that we instituted to deal with the public health situation that was presented by COVID-19.
This has enabled us to continue functioning in extremely difficult market conditions. The public appreciates the work we have done so far.
Unfortunately, the business has been negatively impacted by the response to the COVID-19 pandemic in a more severe manner than could have been foreseen.
In the course of this financial year we have taken several measures to manage the costs of running the business and posted a good performance in the first half.
However, the recent downturn requires even more stiff measures to keep the business viable.
This necessitates that for the first time in sixteen years, management has to take drastic measures to reduce the wage bill.
Following consultation with the Board, it was decided to undertake the following measures;
- Pay Full Salary for the Month of April
- Effect gross salary reduction for the month of May 2020, for those who earn above Shs19m, 45% for those who earn between Shs8m-19M and 40% for those who earn below Shs8M. This position will remain in place until further notice. Full details will be communicated in a personal letter to each member.
- Further measures are still being discussed and staff will be notified accordingly.
It is necessary for these measures to be undertaken to enable the company to navigate the difficult market.”