Following the congressional decision to reject its franchise application, ABS-CBN Corporation will start downscaling its operations and laying off workers by the end of August. The TV broadcast giant issued their official statement yesterday, July 15.
House denied ABS-CBN’s franchise
Last Friday, July 10, the House of Representatives panel voted to deny the network’s franchise application based on a House technical working group’s recommendation, even as several government agencies maintained that it had no violations.
Sadly, ABS-CBN to lay off some of their employees
The retrenchment program will officially be effective on August 31, 2020.
“We are doing all we can to mitigate the pain that will be felt by those affected, including paying out separation and retirement benefits and providing job placement programs,” it said.
“The loss of their jobs comes at a time when the uncertain and perilous impact of the COVID-19 pandemic further makes our decision truly difficuly, but inevitable,” it added.
The company earlier stated that some 11,000 employees will be affected should the House of Representatives decide to deny the franchise of the company. In fact, ABS-CBN and its subsidiaries had 6,730 regular employees, 900 non-regular employees, and 3,325 talents and project-based employees as of 2018.
Moreover, the said lay off is expected to affect the already record-high unemployment rate in the Philippines amid the coronavirus pandemic.
“As much as it hurts us to implement this retrenchment program, this is the only way to ensure the continued employment of the rest of our Kapamilya,” said ABS-CBN.
“For those who are affected, we pray for you and your families, that you may have the strength and guidance to deal with the challenges ahead. For all that you have done for ABS-CBN, maraming salamat po,” it added.