Primedia is the latest South African media group to be impacted by the current situation in South Africa, today announcing that retrenchments at the company will be taking place.
Primedia Broadcasting includes 947, 702, KFM and CapeTalk; national news brand EWN; and Lead SA.
Primedia confirmed in a statement on Thursday that employees were today notified of its intention to proceed with consultations in accordance with section 189 of the Labour Relations Act.
“This decision follows an extensive strategic review process which scrutinised every facet of the business,” said the statement.
Primedia attributed South Africa’s challenging economic environment along with rapid technological change and new entrants in the media sector for placing “significant pressure” on media businesses to adapt and evolve, in order to stay relevant.
“This has been further compounded by the COVID-19 pandemic, and South Africa’s national lockdown on our key clients and industries,” said the Group.
Primedia said it had considered a number of initiatives to reduce the impact of job losses across the Group. However, it has become abundantly clear, said Primedia, that it cannot successfully pursue the necessary strategic imperatives and ensure sustainability in the long term in its current modality.
“The expected impact on our people is a watershed moment for us, as an organization that recognizes their importance in all we do and what we represent. This is a sustainability strategy we had hoped not to have to deploy. We are committed to managing this process with sensitivity and consideration to all affected employees while following the process set out in law,” says Phumzile Langeni, Interim CEO, Primedia Group.
Primedia, which was established in 1994, is a leading African-focused media and advertising group, with a large presence in South Africa, as well as in Botswana, Namibia, Zambia, Mozambique, Swaziland, Lesotho, Nigeria and Zimbabwe.