Leading financial institution Mwananchi Credit Limited is confronting serious allegations of unfair labour practices following abrupt termination of its entire check-off sales team.
The mass dismissals, which reportedly took place on Friday, 28 March, 2025 affected employees working under the salary check-off loan programme.
Those impacted include sales representatives, team leaders (TLS), and regional sales managers (RSM).
The sudden nature of the layoffs has sparked outrage, with affected workers claiming they were not given any prior warning before being removed from their positions.
Many have expressed frustration, saying they were left in shock upon learning that their employment had been terminated without any official notice from the company.
Reports indicate that the decision to sack the entire team stemmed from a dispute over unpaid retainers.
A member of the sales team is said to have confronted a senior official at Mwananchi Credit, demanding payment of their dues.
The confrontation reportedly escalated when the employee expressed anger over the delayed payments, allegedly insulting the official in the process.
It is claimed that in response to the confrontation, the official took drastic action by ordering the dismissal of the entire check-off sales team.
Over 200 employees are now jobless following what many have described as a retaliatory move by the company’s management.
For many of the affected employees, the layoffs have come as a devastating blow, particularly because several of them were yet to receive their pending retainers.
Some had already budgeted for the money, expecting it to be paid as part of their earnings.
Now, with their employment abruptly terminated and no clarity on whether the unpaid dues will be settled, they have been left stranded.
Many are now questioning how a financial institution that prides itself on offering flexible loans and financial assistance to its clients could fail to uphold basic employment standards by ensuring its own workers are treated fairly.
Mwananchi Credit Limited is a major player in Kenya’s financial sector, specializing in various loan products and financial services.
Initially established as Mwananchi Microlink Ltd in 2010 before rebranding in 2012, the company is one of the leading non-bank financial institutions in the country.
The firm is best known for its logbook loans, which allow vehicle owners to use their logbooks as collateral in exchange for quick financing.
These loan products have been widely criticised for their predatory nature, as borrowers often find themselves trapped in cycles of debt due to high interest rates and aggressive debt recovery tactics employed by the company.
It also offers salary check-off loans, a facility widely used by government employees such as teachers, police officers, and other civil servants.
These loan products have been widely criticized for their predatory nature, as borrowers often find themselves trapped in cycles of debt due to high interest rates and aggressive debt recovery tactics employed by the company.
Some of the dismissed employees have indicated that they are considering legal action to demand their unpaid earnings and challenge what they see as unfair treatment by the company.
“Hi Nyakundi. Hide my ID. Mwananchi Credit on Friday sacked every check-off employee (sales team, TLS, and RSM) simply because he was insulted by one sales member for not paying him his genuine share of retainer.
It is very frustrating considering there was no formal notice.
It is like they do not care about our bills and our career.
Surely, who does that?
Over 200 people are jobless today.
There are several people who are yet to be paid that retainer, and we had already budgeted for it.
Justice is needed here.”
