One of Kenya’s largest private hospitals, Aga Khan University hospital has laid off about 300 of its workers citing need to improve efficiency through technology while reducing costs to help it operate more efficiently.
According to the Standard, the hospital fired the workers without notice on Friday 19 January and replaced them with outsourced services. The Standard further claims that the workers were fired not in person, or by phone, but by text message. A big chunk of those affected are minor workers who include; housekeepers, office messengers, theatre attendants, laundry workers, catering staff, ward charge staff, Patient assistants among others.
Through a notice seen by The Kenyan Wallstreet, the hospital’s management noted, “A review of staff utilisation indicated that a restructuring is warranted. Therefore, reluctantly , and after careful consultation and consideration, the hospital is restructuring some of its operations.”
The affected staff, some of whom have worked for the hospital for over a decade have received their dues in accordance with the “Kenya Employment Act and hospital’s Collective Bargaining Agreement.”
The Standard further reported that those who had worked for more than 5 years were given a cheque worth three months pay while the others who had served less than five years received one month salary allowance.
This is the second round of job cuttings announced in a week by Aga Khan linked company in Kenya. Just last week, Nation Media Group, where the Aga Khan holds a controlling 44.6% stake announced a fresh round of lay offs targeting to reduce its work force by 150.
Aga Khan is looking to cut costs in companies that they own both in Kenya and around the world as they struggle to reach targets for profitability.
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