(3 minutes read)
· Kenya Power has made a U-turn on plans to lay off an unspecified number of employees from its 10,481 workforce
· The retrenchment was part of a plan to cut costs to return to profitability. In a statement issued the company said that it would not resort to retrenching as indicated earlier
· The company has experienced a general erosion in its financial situation characterized by reduced net earnings
Kenya Power has made a U-turn on plans to lay off an unspecified number of employees from its 10,481 workforce. The retrenchment was part of a plan to cut costs to return to profitability. In a statement issued the company said that it would not resort to retrenching as indicated earlier.
The company will make the requisite changes on the tender document to reflect this position. The loss-making company had earlier said the restructuring plan had been influenced by its current financial challenges which have affected its ability to run the company in a profitable manner.
The company has experienced a general erosion in its financial situation characterized by reduced net earnings. To overcome that, the company earlier decided to retrench the work force in a phased manner to turn around and transform the financial performance of the company.
Now the company authorities said that Kenya Power would amend the tender document that had shown that it was eying a phased reduction in workforce. The jobs restructuring plan was likely to become a flashpoint with unions opposed to it at a time the unemployment rate has shot up.
