East Africa Cement Recants Plans To Lay Off All Workers
East Africa Portland Cement company has halted plans to fire all workers, after a public outcry.
Managing director Stephen Nthei says that communication on the matter will be issued later.
“We wish to bring to your attention that the said notice has been withdrawn,” read the memo signed by acting Managing Director, Stephen Nthei.
This comes a day after the company issued a memo to all staffers, announcing that all positions in the company would be declared redundant.
“Currently we suffer daily losses of up to Ksh.8 million. In the last three years, the company’s market share has also dropped drastically impacting negatively on sales,” Nthei in the memo that has since been withdrawn.
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The company says that it has been unable to modernise its old and dilapidated machinery to increase its competitive advantage.
“As a result of the restructuring program, all positions in the company will be declared redundant and the employees released,” adds Mr. Nthei.
At least 936 staffers were targeted in the exercise, 448 permanent and 488 contract employees.
The company in 2016 fired 1,000 employees, leaviing it with only 500 employees only to rehire some of the retrenched employees later.
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