Nation Group: Salary cuts apply to management team only

[webfact]

Nation Group has clarified that its recent salary suspension affects a mere 10% of its staff, primarily targeting the management team. This revelation comes amid swirling rumours and public outcry, which the company attributes to distorted messages presenting partial truths, causing widespread public misunderstanding and online criticism, damaging the organisation’s reputation.

 

Dismissing any notions of being in crisis, Nation Group emphasised its proactive measures to brace for future challenges. The media giant, renowned for serving the public, highlighted the global impact of the economic slowdown and technological upheavals, particularly digital disruption, on the media industry.

 

Nation Group asserted that its cost-reduction strategy, including the partial salary suspension, is designed to ensure business stability. This measure, affecting only management, underscores the company’s commitment to responsibility towards the organisation and its employees. It impacts just 10% of the payroll, leaving the remaining 800 employees untouched.

 

Shine Bunnag, Executive Chairman and CEO of Nation Group, stated that Nation Group has been a steadfast media organisation in Thai society for over 54 years.

“We have faced numerous economic crises and changes in the media landscape, communication technologies, and economic downturns. This is not the first storm and it won’t be the last. We see the current challenges as part of life’s journey and are not alone in being affected.”

 

Highlighting the company’s resilience, Shine recalled the 10% salary suspension during the Covid-19 pandemic, which was later fully reimbursed once stability returned. He dismissed the sensationalist news from competitors aiming to undermine Nation Group’s credibility, assuring that the current measures are part of a robust strategy for future growth.

 

Nation Group continues to invest in diverse business models, including film, showbiz, and online image and information trading, while integrating Generative AI technology to enhance editorial capabilities, reported The Nation.

 

“We sincerely thank all supporters. Nation Group affirms that the organisation remains stable with strong revenue, and we will continue to produce news and create beneficial content for Thai society.”

 

ORIGINAL STORY: Nation Group announces partial salary suspension

 

Nation Group announced a partial salary suspension for some employees due to a significant decline in advertising revenue across the media industry, driven by current economic conditions. Chairperson Chai Bunnag also opted to forego his salary.

 

Nation Group released an announcement, numbered 015/2567, detailing the decision to partially suspend salaries.

 

This measure comes in response to a sharp decrease in advertising revenue throughout the media sector, attributed to ongoing economic challenges. The company has cited the need to reduce expenses across various areas to ensure sustainable business operations.

 

The salary suspension will apply to employees earning 50,000 baht or more per month, effective July 1 to December 31. The reduction will be implemented on a sliding scale, with salaries being suspended by 10% to 30%, depending on the employee’s salary bracket.

 

Chai Bunnag, the Chairperson and Chief Executive Officer, voluntarily decided not to receive his salary or any compensation from the company during this period. This gesture aims to allocate resources to employees who are in greater need.

 

“The company understands that the partial salary suspension may affect all employees. We assure you that this decision has been made with great care and necessity, to help the company navigate these challenging times.”

 

Nation Group plans to begin reimbursing the suspended salaries starting from January 2025. The repayment is expected to be completed within the first half of the year. Should there be any improvements in the situation, the company will notify employees accordingly.

 

The announcement was signed by Chai Bunnag, confirming the authenticity of the decision. Further discussions regarding the exact percentage reductions will occur today, with an internal announcement to follow, reported KhaoSod.

 

by Puntid Tantivangphaisal 

Photo courtesy of The Nation

 

Source: The Thaiger 2024-07-12

 

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[hotchilli]

2 hours ago, webfact said:

Nation Group asserted that its cost-reduction strategy, including the partial salary suspension, is designed to ensure business stability.

Definitely in the mire.

[Tropicalevo]

2 hours ago, webfact said:

which the company attributes to distorted messages presenting partial truths, causing widespread public misunderstanding and online criticism, damaging the organisation’s reputation.

ie social media lies.

[Will B Good]

Financial incentives have a limited impact and tend to be short lived.

 

Financial disincentives have a disproportionate large effect and last forever.

 

This is not a good move.