This archive report was first published on 7 May 2020.
Mediamax Network Ltd, the media house owned by President Uhuru Kenyatta's family, has been hit by a wave of resignations following a recent pay cut of up to 50% for its top earners.
According to sources, Peter Opondo, the senior-most editor at Mediamax, has resigned due to frustration related to recent management decisions. Opondo has been editor-in-chief since April 2018.
Two other senior employees have also resigned in solidarity with Opondo, with more expected to follow. The company announced the pay cut as a strategic move to keep expenses low during the Covid-19 economic slowdown period.
"We are talking about three senior bosses who have resigned already," said one source. "They felt the coercing as too much to bear. Maybe others will follow."
Other big names at Mediamax who could be among those who resign include print editor-in-chief Eric Obino, TV presenters Betty Kyalo and Anne Kiguta, and radio presenter Felix Odiwuor, among others.
Mediamax CEO Ken Ngaruiya has been in the spotlight over not only the highest pay cut in the media industry but also slow growth in revenues at Mediamax. "When supporting pillars start falling, the future of the kingpost and the house can't be stable," said a source.
Other media houses such as Nation Media Group, Standard Group, Royal Media Services, and Radio Africa Group have announced salary cuts of up to 30%.
Mediamax has also faced reports of salary delays, with last month's salaries delayed until 17th and May salaries yet to be paid. Ngaruiya recently issued an ultimatum to staff to sign pay-cut letters or face HR sanctions.
It is the second time Peter Opondo has quit the media house, having previously served from 2013 to 2015 before leaving to join Royal Media Services as editorial consultant.