KQ goes for employees salaries in fresh 30% cut

KQ goes for employees salaries in fresh 30% cut

•Management has proposed pay cuts range from a maximum of 30 per cent and a minimum of five per cent (5%) for those earning above Sh45,000.

•It has also proposed that any staff across the network who earn the equivalent of less than Sh44,999 will have no pay variation for now. Kenya Airways hostesses at the Jomo Kenyatta International Airport/ National carrier–Kenya Airways is going for employees salaries in a second wave of a pay cut proposed at a maximum 30 per cent.

Management has proposed pay cuts range from a maximum of 30 per cent and a minimum of five per cent (5%) for those earning above Sh45,000.

It has also proposed that any staff across the network who earn the equivalent of less than Sh44,999 will have no pay variation for now.

“The local currency amounts will be converted and fixed at the appropriate exchange rates for outstation staff. We will seek consent appropriately for the variation of pay,” Group managing director and CEO Allan Kilavuka says in communique’ seen by the Star.

“HR will provide more information on the proposed pay variation and pay ranges during the planned staff and social partner/union engagements in the coming few days,” he adds.

Kilavuka has pegged the move on the continued financial difficulties at the airline in the wake of Covid-19 which has worsened its financial status.

Last year, KQ, as it is known by its international code, effected pay cuts for senior managers and top earners, who took a 25 per cent pay cut.

Its pilots and key staff salaries were also affected in the move which saw them fly on rotation, with some taking home a paltry 25 per cent pay, leaving the airline with salary arrears amounting to millions.

“I have previously communicated that the company has been struggling to meet its financial obligations. We owe our service providers and you, our employees, significant amounts. Our financiers and the government of Kenya are also challenging the deferred pay arrangement as it is unsustainable,” Kilavuka notes.

The airline has received a Sh2 billion funding from the national government to help sustain its operations.According to Kilavuka, the carrier is on a “cautiously optimistic recovery and rebounding journey.”“We will forge ahead with our plans for 2021 with determination. However, we are mindful that the new Covid variant will result in new travel restrictions, significantly affecting passenger numbers in our key destinations,” he notes.In December 2020, management had requested to […]

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