KUALA LUMPUR • Casino-and-hospitality giant Genting Malaysia is planning another round of salary cuts as it seeks to slash costs amid the prolonged Covid-19 pandemic.
Genting Malaysia, a unit of conglomerate Genting Bhd controlled by Malaysian tycoon Lim Kok Thay, is asking some employees to agree to a temporary reduction of 15 per cent or 20 per cent in basic salary based on their ranks, according to an internal memo dated March 1 seen by Bloomberg News. Some staff are being asked to take one day per week of no-pay leave.
The cuts will be in effect until May, according to the memo. Senior management have voluntarily agreed to waive 20 per cent of their salaries for the same period, it said.
This is the second time since the start of the pandemic that the Genting group has had to cut staff compensation. Last April, the conglomerate announced its first groupwide salary reduction since its founding in 1965 after the pandemic roiled its casinos, cruises and resorts.
A representative of Genting Malaysia did not immediately respond to requests for comment.
Genting Singapore did not respond to queries from The Straits Times by press time on whether similar measures would be implemented.
Malaysia's renewed movement restrictions and border closures, imposed to rein in the spread of Covid-19 infections, forced the group to shut its local operations again on Jan 22.
Resorts World Genting reopened after the government eased movement curbs, but Genting Malaysia said it remains cautious on the near-term prospects of the leisure and hospitality industry, according to an exchange filing on Feb 25.