KPLC Set To Lay Off 2000 Workers In A Massive Retirement Plan Worth Ksh.5 Billion.

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Electricity distributor Kenya Power and Lighting Company (KPLC) has announced plans to lay off 2,000 workers in a KSh 5.3 billion retirement plan.




Kenya Power will fire 2000 workers in one year.Acting Kenya Power CEO Rosemary Oduor. Photo courtesy.



The company stated the move to be undertaken in three phases voluntarily until 2023, would save it KSh 1.54 billion annually when the voluntary employee separation exercise (VES) would be completed in June next year.




In the plan as reported by Daily Nation, the near-monopoly company revealed it would cut its workforce by 20% by letting go of 1,962 ageing workers and replacing them with 830 youthful and energetic ones.

“The company because of low attrition rate has an ageing and expensive workforce resulting in staff growing at nearly twice the revenue growth,” acting chief executive officer Rosemary Odour stated in a circular to the Board’s Governance Committee.


The VES would leave KPLC with 8,711 staff members from 9,843 in January.

KPLC breakdown of workers to be sacked

According to Kenya Power, among the workers to be affected in the retrenchment are artisans (571), technicians (180), engineers (155), clerks (151), drivers (138), craftsmen (131), commercial service officers (122) and meter readers (110).

The estimated cost of firing and hiring new staff is KSh 6.26 billion.



Kenya Power sends senior managers on leave

In December 2021, KPLC sent five managers on forced 60 days leave to pave the way for audit.

List of managers who were sent home.

  1. Aggrey Machasio – general manager, infrastructure development.
  2. Peter Njenga – regional manager, regional coordination.
  3. Charles Mwaura – general manager, network development.
  4. Robert Mugo, general manager, ICT.
  5. Imelda Bore – general manager legal services, regulatory affairs, and company secretary.

KPLC in red zone

In November 2021, audit findings by the Auditor General Nancy Gathungu placed Kenya Power on shaky financial ground.

The report showed Kenya Power’s liabilities of KSh 116.11 billion exceed its assets of KSh 49.63 billion by KSh 66.47 billion.

Gathungu said even though the board had indicated strategic interventions and initiatives to turn around the company’s fortunes, she noted the KPLC was technically insolvent and needs funding.



She warned if the financial situation was not corrected on time, it would be hard for the government or any other shareholder to pump in money or bail it out.

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