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the current situation with pandemic and oil price drop has had entirely unforeseen and severe impact on the global economy and our sector, hiring the business hard. with the backdrop of lower than expected of new order intake last year and a declining backlog, we have some tough but necessary measures to protect the business and ensure we are best placed for the future. on 1st may,2020, we are opening a voluntary redundancy programme. this programme will close 15th may 2020. any employee can apply but management has the right to deny certain application in order to pressure key skills in the business. all applications for voluntary redundancy will need to leave the business not later 1st june 2020, you will receive a separate communication on this programme with full details shortly. upon closure of the voluntary programme, if we have achieved in sufficient numbers of volunteers, then we will move to you a compulsory redundancy programme on less favorable terms. the compulsory redundancy programme will open from 1st may 2020. through the combination of both voluntary and compulsory programme, we are targeting a 20% reduction in our overall headcount. furthermore with effect for 1st may 2020, we will be implementing a 10% pay cut reduction in basic salaries. all employee will be asked to agree to this change and the removal of the merit increase by signing and addendum to their contract of employment. this will be provided to you electronically by human resources in the next few days. for the avoidance of doubt, the others allowance for site will revised or adjusted to job requirement. 2. we want to protect employee’s : end of service benefit (eosb) as much as we can. therefore we will accure for all service up to 31st march 2020 on existing basic salary levels including the recent merit and promotional increasing all service going forward from 1st april 2020, will have eosb based on the new reduced basic salaries. this is a very difficult time for all of us but the quickly we act, the better placed we will be to with stand future economic shocks and market unpredictability. i have very confident that we will come through this stronger a more robust company and ready to settle up when rebounce occurs. however, there is no pain-force way to navigate these current unprecedented times and we will have to take a lot of difficult decisions. what i can assure you is that we will be doing everything we can to treat all employees with dignity and respect in this difficult time.
Last Update: 2020-05-02
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