2,399 total views, 1 views today
BY JOAN WANJIKU,NAIROBI,5TH NOV 2019-The KCB Group has sacked all Mumias Sugar Company employee contracts backdating the implementation of the layoffs to September 20.
In a press statement issued earlier on Tuesday, KCB’s appointed receiver for the crisis-strapped miller Ponangipalli Rao says the temporary hire of new staff is expected to hold until the resumption of the miller’s operations.
“The Receiver shall engage the services of an employee on a temporary basis on mutually agreeable terms until when the operations resume,” reads part of the notice.
However , Mr. Rao has insisted the new hiring will give priority to past employees.
Layoffs at the debt ridden miller come slightly over a month since KCB’s takeover of the company operations on September 20 following the execution of a lender’s agreement deed.
The directive is expected to touch on 732 employees comprised of 433 permanent staff and 319 contracted workers as per the firm’s disclosure at September 30, 2019.
Mumias Sugar is partly owned by government which has over the years tried to bail out the struggling company with fail, with a 20 per cent stake and 10 other companies.Individual shareholders hold the majority shares at 71.35 per cent.