Thu, Mar 12, 2009
Singapore Press Holdings (SPH) today announced pay cuts for 3,000 staff which, together with a reduction in profit-related bonuses, would result in an estimated 20 per cent reduction in the wage bill for its core businesses.
The cuts in monthly pay, which will take effect from April 1, will be between 2 per cent and 10 per cent. The actual cut will depend on each staff's current pay package, with higher paid staff taking the brunt of the pay cuts. Staff who earn $2,000 or less will not have any cut in their monthly pay.
Subsidiaries in the group will implement their own pay cuts according to their respective situations.
The move is the latest cost-cutting measure in response to the sharp deterioration in business conditions.
The wage revision was concluded following negotiations with the Company’s two unions – the Singapore Press Holdings Employees' Union and the Singapore National Union of Journalists.
With the decline in newspaper profits, there will also be a concomitant reduction in profit-related bonuses. Senior management staff will take the highest reduction, expected at about 30 per cent of their total annual remuneration.
In addition to the pay cuts, SPH has also instituted a range of cost-cutting measures, which include a recruitment freeze and a reduction in operating expenses.
Chief Executive Officer of SPH, Mr Alan Chan, says: "We need to bring our costs down in the face of a weaker advertising market and uncertain business environment. It is imperative that we prepare for a longer than expected downturn so that we can emerge stronger when the economy recovers."
Less juicy news when staff work to hold on to their job.
Singapore Press Holdings (SPH) today announced pay cuts for 3,000 staff which, together with a reduction in profit-related bonuses, would result in an estimated 20 per cent reduction in the wage bill for its core businesses.
The cuts in monthly pay, which will take effect from April 1, will be between 2 per cent and 10 per cent. The actual cut will depend on each staff's current pay package, with higher paid staff taking the brunt of the pay cuts. Staff who earn $2,000 or less will not have any cut in their monthly pay.
Subsidiaries in the group will implement their own pay cuts according to their respective situations.
The move is the latest cost-cutting measure in response to the sharp deterioration in business conditions.
The wage revision was concluded following negotiations with the Company’s two unions – the Singapore Press Holdings Employees' Union and the Singapore National Union of Journalists.
With the decline in newspaper profits, there will also be a concomitant reduction in profit-related bonuses. Senior management staff will take the highest reduction, expected at about 30 per cent of their total annual remuneration.
In addition to the pay cuts, SPH has also instituted a range of cost-cutting measures, which include a recruitment freeze and a reduction in operating expenses.
Chief Executive Officer of SPH, Mr Alan Chan, says: "We need to bring our costs down in the face of a weaker advertising market and uncertain business environment. It is imperative that we prepare for a longer than expected downturn so that we can emerge stronger when the economy recovers."
Less juicy news when staff work to hold on to their job.
