This archive report was first published on 15 August 2019.
East African Portland Cement Company (EAPCC) has announced plans to retain 600 of its 1,000 employees in a restructuring process aimed at reducing losses. The company has been recording Sh8 million in daily losses, worsening its already bleak financial position.
According to Acting Managing Director Stephen Nthei, the company will reconfigure workers' roles with current employees retained or let go based on a performance appraisal system. "At the end of the process, the current employees will apply for newly configured jobs as will be defined in the new structure on contract basis," he said in a statement.
The company had initially sent a memo to workers informing them of the restructuring exercise, but later withdrew it and issued a replacement notice. Yesterday, Mr Nthei said the company had held consultation with relevant stakeholders to ensure the process is carried out fairly with the affected staff offered a severance package.
"This is a progressive staff rationalisation exercise which recognises the criticality of the current core workforce in the continuous operations of the company," said the MD. "We will manage this process fairly, equitably without any discrimination and in the best interest of all parties involved to ensure that no adverse negative impact will be felt while simultaneously serving our customers," he added.
The restructuring programme will be implemented on a phased basis to ensure that normal operations are not disrupted.
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