Kenya Airways is struggling to stay afloat. plans to lower wages again

Kenya Airways, often referred to as KQ, is expected to cut employee salaries by up to 30% due to the impact of the Covid-19 pandemic on the airline. Management informed the airline’s employees in a memo dated January 14, 2021: This happens approximately 10 months after KQ initially cut executive salaries. The airline has cut top management salaries by 24%, and senior management now earns less than ATS 200 million a year. In the meantime, company executives have been invited to work for free. The memo states that the wage cut will take effect from this month and will affect workers earning KSh 45,000 and more. The airline’s employees have been told they can expect a 5% to 30% wage cut for six to 12 months. The memo added that wage fluctuations would also be reviewed quarterly. Kenya Airways Managing Director (CEO) Allan Kilavuka added that employees whose salaries have been postponed since April 2020 will not be paid. “I have to point out that we cannot pay these amounts and we also have no schedule when the payment will be possible. If our finances and solvency improve significantly, we will refund the deferred amounts, ”the Business Daily quoted Kilavuka in the note. “Our suggestion, however, is that at this point we start discussions about deferred pay as soon as we receive a sustained injection of cash that can cover our arrears. If our financial situation and solvency improve significantly, we will also reimburse the amounts reserved. Kenya Airways has had problems since resuming operations after the lockdown and border restrictions in Kenya and other countries were relaxed.