Primedia begins retrenchment processes
The number of affected jobs will become clear during the consultation process.
The Primedia Group has announced that it has informed employees of plans to implement retrenchments and has begun consultations in accordance with section 189 of the Labour Relations Act. In a recently released media statement, the owners of popular radio stations 702, CapeTalk, Kfm and 947, Primedia said the decision followed an extensive strategic review process which scrutinised every facet of the business.
“The consultation process which has been initiated now will involve most divisions, with Primedia Broadcasting expected to be the most affected. The number of roles that will be impacted by the repositioning of the business will only be confirmed through the consultation process,” the media company said.
"The number of roles that will be impacted by the repositioning of the business will only be confirmed at the conclusion of the consultation process.”
Before the pandemic, Primedia’s management team embarked on an extensive programme of cost containment to reduce operating costs as far as possible in response to the revenue pressures. This is because the challenging economic environment in South Africa, rapid technological change and new entrants in the media sector, has placed significant pressure on media businesses to adapt and evolve, in order to stay relevant.
“This has been further compounded by the Covid-19 pandemic, and South Africa’s national lockdown on our key clients and industries.?An important consideration has been applied to a number of initiatives to reduce the impact of job losses across the Group. However, it has become abundantly clear that Primedia cannot successfully pursue the necessary strategic imperatives and ensure sustainability in the long term in its current modality.”