National carrier–Kenya Airways has revised downwards employees’ salary by up to 30 per cent in new proposals.
The airline cites continued challenges in the wake of the COVID-19 pandemic.
In the new proposals, a maximum of 30 per cent and a minimum of five per cent for those earning above KSh45,000 will undergo the pay cut. However, those earning less than KSh44,999 will have no pay variation.
“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,” Kenya Airways Group managing director and CEO Allan Kilavuka says in a communique to the staff as seen by Khusoko.
“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. 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.