This archive report was first published on 18 September 2019.
On September 17, 2019, Andela, a New York-headquartered software developer training and outsourcing company, announced significant job cuts in Africa.
The company will lay off 170 software developers in Kenya and at least 250 in Nigeria and Uganda, totaling 420 junior engineers.
According to Andela, the retrenchment targets junior engineers, with the affected workers unlikely to find meaningful work over the next year.
The company's business model involves identifying and training local entry-level software developers to be globally competitive before outsourcing their skills to customers in North America, mainly in the United States.
Andela's decision to lay off junior engineers comes despite the company almost doubling its annual revenue in the last financial year.
As the company shifts its focus to more experienced talent, Andela noted that mid-level and senior engineers now represent more than 25% of its talent base.
