KEC reduces bonus, allowances of board members to offset COVID-19 impact

Knowledge Economic City’s (KEC) board of directors decided to reduce the annual bonus and meeting attendance allowance for board members as part of the company’s move to offset the negative impact of COVID-19 outbreak.

The company said in a statement to Tadawul that the annual bonus would be reduced by 15% to SAR 170,000 from SAR 200,000, while the meeting attendance allowance will be cut by 30% to SAR 3,500 from SAR 5,000. The move will save around SAR 400,000 in 2020.

The above decision is part of the initiative where the CEO and other employees have lowered their salaries by up to 28%, which will result in savings of SAR 300,000 per month from April 2020.

KEC further reduced administrative and other indirect project costs to offset the negative impact of the pandemic.

All these initiatives will have a positive financial impact, which will be reflected in the financials by year-end, the statement noted.