This archive report was first published on 3 October 2019.
Sportpesa Fires 400 Employees After Quitting Kenyan Market ¶
On October 2, 2019, Sportpesa, a leading betting firm, informed its employees that their services were no longer required after losing a court case against the government.
According to a video circulating online, the company's CEO, Ronald Karauri, announced the decision to lay off over 400 employees, citing the company's decision to exit the Kenyan market.
One of the affected employees was seen saying that he had to look for a cheaper house because his previous one was too expensive.
Sportpesa had been facing challenges in Kenya, including a court case against the government over tax issues. The company had also been criticized for its decision to exit the Kenyan market.
On September 27, 2019, Betin, another betting firm, announced that it had laid off its employees, citing the company's decision to exit the Kenyan market due to tax issues.
Both Sportpesa and Betin had been among the companies that had their licenses revoked by the government due to tax issues.
On October 3, 2019, Sportpesa announced that it would be laying off over 400 employees, citing the company's decision to exit the Kenyan market.
"SportPesa has been made aware of the proposal by the Kenyan Parliament to impose a 20% tax on our customers in every game they participate in," the company said in a statement.
"The tax is based on the proposal by the Rotich-led committee on the allocation of revenue in the company," the company added.
It is not clear if Sportpesa will reconsider its decision to exit the Kenyan market.
However, the company has stated that it will continue to operate in other countries.
On October 3, 2019, Sportpesa announced that it would be laying off over 400 employees, citing the company's decision to exit the Kenyan market.
"We have been made aware of the proposal by the Kenyan Parliament to impose a 20% tax on our customers in every game they participate in," the company said in a statement.
"The tax is based on the proposal by the Rotich-led committee on the allocation of revenue in the company," the company added.
It is not clear if Sportpesa will reconsider its decision to exit the Kenyan market.
However, the company has stated that it will continue to operate in other countries.
