: Media Prima Bhd, Malaysia's leading fully-integrated media group, has issued retrenchment notices to approximately 300 employees, whose last day of employment will be on July 31.
Media Prima, in a statement today, said the group and representatives of its five union groups had concluded discussions on the execution of the next phase of the Media Prima business transformation plan that was announced on June 4.
"The discussions aimed to ensure that the process is transparent and that all obligations to affected employees were given the utmost priority.
"All parties understood the need for the business transformation and agreed to the mechanism of fair and equitable compensation to affected employees as governed by the law, respective union collective agreements and employment contracts," said the statement.
Media Prima had earlier announced that it will undertake the next phase of its business transformation due to disruptive changes in the media sector and challenging macroeconomic conditions, which were exacerbated by unknown variables surrounding the COVID-19 pandemic.
These factors have compelled the group to expedite the next phase of its transformation exercise, which includes revising revenue models and corresponding cost management.
"It involves operational changes at selected units to address cost inefficiencies arising from 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.