Genting Malaysia, operator of Malaysia’s Resorts World Genting, has reportedly asked some employees to undergo further staff pay cuts as it looks to limit the damage from the ongoing COVID-19 pandemic.
According to a report by Bloomberg, an internal Genting Malaysia memo circulated on Monday 1 March 2021 requests that some employees agree to a temporary pay cut of between 15% and 20% for a period of around three months, until May. Other staff have been asked to take one day of leave each week without pay.
The memo also says that senior management has already agreed to a 20% pay cut, according to Bloomberg.
“We need to control Resort World Genting’s cost base to ensure the sustainability of our business and to help protect as many jobs as possible,” Genting Malaysia President and COO Lee Choong Yan is said to have written in the memo.
News of the memo comes almost a year after Genting Malaysia’s parent company, Genting Berhad, implemented group-wide pay cuts for the first time since 1965, including 50% reductions for those holding Vice President roles or higher and 20% cuts to the basic salaries of other employees. Those cuts were in place throughout 2020.
Resorts World Genting was closed for three months last year, from 18 March to 19 June, due to the COVID-19 pandemic and again for almost four weeks this year from 22 January to 16 February following a second wave of the virus across Malaysia.
Genting Malaysia recently reported a net loss of MYR258.2 million (US$63.7 million) for the three months to 31 December 2020.