This archive report was first published on 14 October 2019.
Published on October 14, 2019, Air Afrik, a passenger and cargo carrier, has announced drastic measures to cut down on 80% of its salaried staff in Kenya and South Sudan.
The company will eliminate 200 white-collar jobs following the loss of a $20 million (Ksh2 billion) plane leasing contract with the government of South Sudan.
According to Air Afrik's management, the loss of the contract, coupled with a court case against Stanbic Bank, has forced the company to review its processes, resulting in some positions being declared redundant.
"We understand this is a challenging time for our team, but these steps were necessitated following Stanbic Bank's negligent errors, oversight, and unlawful actions," the company stated.
Air Afrik accused Stanbic Bank of not disclosing crucial information, failing to own up to its mistakes, and failing to compensate the company for damages suffered.
The carrier is seeking compensation amounting to $14.4 million (Ksh1.44 billion) from the bank.
