Fenaka Denies Misleading Staff Over Voluntary Redundancy Payments

Fenaka Corporation has denied reports that it misled employees who opted to leave under its voluntary separation programme, stating that all eligible staff received severance payments equivalent to four months’ salary.

In a statement, the state-owned utility said the voluntary exit scheme was introduced as part of its efforts to become a “right-sized” company. The offer was first communicated to employees through an internal memorandum issued on 2 June, while a detailed policy governing the programme was published on 4 June.

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According to Fenaka, employees who submitted written requests to resign under the scheme were paid four months’ salary after their resignations were formally processed.

The company said media reports alleging that employees had been misled were inaccurate.

Earlier this month, Fenaka Managing Director Mohamed Afeef Hussain said the company had received voluntary resignation requests from 108 employees under its workforce restructuring programme.

Afeef said employees who chose to leave under the board-approved policy would receive severance packages equivalent to four months’ salary in line with the company’s redundancy framework.

He also said the government planned to support departing employees by creating opportunities for them to establish private businesses after leaving the company.

The voluntary separation programme forms part of Fenaka’s wider workforce restructuring initiative. Under the approved framework, employees who remain with the company will be selected based on organisational requirements and staffing needs.