Remaining relevant in the world of today
NMH takes mitigating steps
06 May 2020 | Local News
Namibia Media Holdings (NMH) continues to ensure that objective and accurate information is shared on all platforms without compromising editorial quality to all corners of Namibia and beyond. According to NMH CEO, Albe Botha, the company has proven the importance of an independent local press which is critical for a democracy to maintain its credibility.
“However, this comes at a great cost in an economy that was running at about 40% of capacity in April and May, and the months to come will be just as challenging. It is fair to say the past four years have not been kind to business in Namibia and that the timing of Covid-19 on the Namibian economy is bad.”
He said that while NMH is committed to the Namibian economy and to this end the company believes in protecting jobs. “To achieve the objective of remaining relevant on all media platforms while operating on a sustainable basis, we have embarked on a Productive Realignment Of Time in Economic Challenging Times (“PROTECT”) working schedule. In short, we have reduced our working week from 45 to 36 hours per week and have reduced the remuneration of employees accordingly. We hope this will be in line with our expectation of a slower economy over the next 90 days and beyond.”
He said that to mitigate the financial impact of this reduction in working hours, NMH has allowed staff the option to freeze contributions to their pension fund and realign their medical aid and social security holiday contributions accordingly. “This will effectively mean that the impact of employee’s remuneration being reduced by 20% will only be around 10% on their take-home pay.”
He added that given the reduction in the fuel price and interest rates and that fact that staff received a 5% increase in January, he believes this reduction will place employees back on a 1 January 2020 living standard basis.
“This strategy has ensured that we can protect all jobs at NMH in this transitional time and be able to assess the full impact of Covid-19 in a more stable environment in months to come without making short term uninformed decisions on jobs.”