This archive report was first published on 18 November 2019.
Simba Corporation, a Kenyan company with over 50 years of experience in motor vehicle sales, hospitality, power systems, and vehicle financing, has announced a restructuring plan that will affect less than 5% of its 30,000-strong workforce.
According to the company's CEO, Dinesh Kotecha, the restructuring is aimed at reducing costs and improving service delivery in the current challenging economic environment.
"We are restructuring our business processes to enhance efficiency in our operations, reducing costs and improving service delivery to our customers," Kotecha said in a statement.
However, the company has clarified that the restructuring will not significantly impact its operations, citing the need to adapt to prevailing economic market conditions.
Kenya has witnessed a series of company retrenchments since the Jubilee administration took power in 2013, with several firms citing hard economic times and a difficult operating environment.
Recent examples include Sportpesa and Betin Kenya, which halted their operations in September due to a tax standoff with the government, and East Africa Portland Cement Company, which sent packing 136 supervisors and managers in a restructuring move.
Mediamax Networks Limited, owned by Uhuru and Ruto, also fired at least 160 employees in October as part of a cost-cutting measure.
