MEDIANEWS

Standard Group Slaps Employees With a Pension Shock

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Standard Group Pension Scheme
suspension will apply to both employer and employee pension contributions.
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In what has left employees reeling in confusion and anguish The Standard Group Pension Scheme has suspended contributions towards retirement savings for its employees for at least two years, as effects of the financial difficulties facing the listed media house continue to emerge.

The Standard Group Pension Scheme is a retirement savings plan for employees of the Standard Group. Its parent company, The Standard Group, has been struggling financially, and it is said to have defaulted on the pension contributions long before the suspension announcement was made recently.

The pension scheme’s last publicly recorded good performance was way back in 2010, when it recorded a growth of 10.2% over the previous year, contrasting with a sluggish performance two years prior.

Few days ago the company send out a n internal memo to staff indicating that the pension scheme had been stopped. “We wish to inform you that the Sponsor – The Standard Group Pension Scheme will suspend pension contributions effective 1st November 2025,” the management announced in a memo.

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It explained that the suspension is in line with Trust Deeds Clause 8, which states: “The Employer shall have the right to discontinue payment of contributions to the Scheme upon giving six (6) calendar month/s prior written notice to the Trustees and, in such event the Trustees, upon taking into account of all relevant circumstances, resolving that the Scheme shall be wound up, the Scheme shall be dealt with in accordance with Clause 32 of this Deed.”

The memo said the The Standard Group Pension Scheme suspension will apply to both employer and employee pension contributions and will remain in effect for two (2) years, after which contributions will resume in 1st November 2027.

“We subsequently wish to invite you for a meeting to discuss this further and respond to any of your queries on Thursday, 20th November, 2025 at 10:00AM,” it says. “Venue details will be communicated in due course.”

Suspension will apply to both employer and employee pension contributions.

Employees who talked to BT cried foul, lamenting how the company had ambushed them with the development, in effect putting the cart before the horse. “The meeting should have come before the suspension,” said a journalist who preferred not to be identified. “This means the Thursday meeting will be more of a rubber-stamping forum rather than a consultative session seeking views from employees.”

> Hope for Standard Group Employees as Losses Shrink
Written by
BT Reporter

editor [at] businesstoday.co.ke

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