In the midst of the country’s economic difficulties, G4S Kenya has declared that it intends to send home around 400 staff.
In a letter dated November 4, the firm informed the Ministry of Labour of its decision to declare about 400 personnel redundant as a result of the continued economic issues that have had a significant effect on the company’s commercial operations.
Based on the consequences of decreased income and excessive operating expenses, the firm, which has been a key participant in the security and logistics industry, described these as the main motivations for the painful choice that they made.
In the notice, the company expressed regret at having to inform the Ministry of Labour and Social Protection of the organization’s intentions to declare several positions redundant.
“Due to the ongoing reduction in business trading that has been caused by the effects of the harsh economic challenges that have caused a reduction in revenue and the high cost of running our business,” the company stated.
G4S Kenya said that the redundancy operation would have an impact on personnel working in a variety of locations around Kenya. These employees will fall into both management and unionised categories.
There is a possibility that the layoffs may occur gradually between the months of November 2024 and April 2025.
Therefore, in accordance with the provisions of Section 40 (1) of the Employment Act of 2007, this letter acts as a notice of redundancy. Specifically, it said that the notification will go into force on November 4, 2024.
Despite the difficult conditions, G4S Kenya has reaffirmed its commitment to the Kenyan market. This comes at a time when the company has been struggling to contend with the economic slump.
“G4S Kenya Limited continues to maintain its unwavering commitment to the Kenyan market.”
The implementation of solutions that will ensure employment for our staff members while simultaneously maintaining favourable company performance is something that we want to do “with every intention.”
As a further demonstration of its devotion to the rules contained in the Employment Act, the business confirmed that it would comply with all of the minimal legal obligations that were associated with the process of redundancy.
“We want to tell the Ministry that we will comply to all of the minimal legal standards stated for this sort of action,” the business said in its statement. “We feel it is important to have this assurance.”
The news comes at a time when a great number of firms all around Kenya are under comparable degrees of economic hardship.
