This archive report was first published on 15 November 2019.
Kenya's unemployment crisis has deepened with Simba Corporation, a family-owned business with interests in the country's automotive and hospitality sectors, planning to lay off nearly 100 of its 1,500 workers.
According to a leaked internal memo, the firm's management is working with department heads to confirm the positions that will become redundant from identified areas at risk.
Chief Executive Dinesh Kotecha told Business Daily that the company aims to retain only about 5 percent of its staff, which translates to around 75 to 90 workers.
Simba Corp's decision to lay off workers comes a year after it lost the BMW franchise to London-based Inchcape Plc and just a few months after it moved to court in a bid to retain its Renault business.
The move is expected to add to the pain of recent job losses that have hit corporate Kenya, affecting households as breadwinners lose their income at a time of rising costs of living.
Simba Corp said the selection criteria for the layoffs have been determined to ensure fairness through the process.
