‪Insensitive WPP Scangroup CEO Patricia Ithau Heads On A Vacation After Laying Off 102 Employees‬

Scangroup CEO Patricia Ithau, reportedly on a luxury vacation in Singapore, has been criticized for her perceived insensitivity and poor leadership during a period of company upheaval.

According to reports, the CEO left the country to celebrate the “milestone” of the company’s restructuring. While dozens of former employees grappled with the heavy, painful burden of job loss, Ithau reveled on Instagram, sipping champagne.

Ordinarily, she ought to be empathetic to her employees, and the last thing she did was not flash luxury on the internet while on the other end, her juniors grappled with pain.

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A post shared by Patricia Ithau (@patriciaithau)

Lay offs

WPP Scangroup, a marketing services firm, has laid off 102 employees in the year ended December 2023, focusing on cost reduction. The company’s workforce fell to 452 from 554 in 2020. Most of the job cuts were implemented in May 2023.

Of the 102 employees that were fired, 86 were contract workers and 16 were permanent staff. The latest job cuts add to the 157 employees it laid off in 2020 when the Covid-19 pandemic disrupted the business landscape.

The company’s total staff costs rose 7.88%, with salaries and wages growing from Sh1.5 billion to Sh1.7 billion.

Revenue fell from Sh7.3 billion to Sh6.6 billion, while direct costs shrunk from Sh5.1 billion to Sh4.4 billion. Scangroup reported a net profit of Sh130 million in the review period, reversing a net loss of Sh145.5 million a year earlier.

The company provides advertising, market research, and public relations services to companies but has seen sales decline as clients cut their marketing budgets. Scangroup plans to sell its business in South Africa and wind up several subsidiaries.