Media Prima Bhd has announced it will be undergoing the next phase of its business transformation, with layoffs on the cards for some of the group’s employees.
The group in a June 5 statement cited disruptive changes in the media sector and challenging macroeconomic conditions, which have been further exacerbated by the uncertainties surrounding the Covid-19 pandemic, as the reason for this exercise.
Revenue models and the corresponding cost management will be revised, and will involve operational changes to “address cost inefficiencies from unnecessary work duplication.”
“The business transformation is aimed to land the group on a robust and sustainable business model for the medium and long term,” said Media Prima.
“Where manpower rationalisation has to be undertaken, the group as a responsible corporate entity, will ensure that affected employees will receive a fair and equitable compensation package governed by the law and respective unions’ collective agreements which will be paid upon the fulfilment of all legal requirements,” added the group.
The statement, dated June 4, appears to be a response to a story published on Free Malaysia Today on June 3, which claimed that some 300 staff will be affected by another round of retrenchments, citing a source within Media Prima.
This follows a round of retrenchments in November last year.
At 10.05am, Media Prima’s shares were last done at a static 16 sen, with 2.89 million shares traded.
