Moi University to Lay-off Staff Despite Ksh1.8 Billion State Bailout

Kenyans lining up for job applications
Kenyans lining up for a job interview in Nairobi in 2019.
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Coletta

Moi University Vice Chancellor Kiplagat Kotut has issued a notice to the Universities Academic Staff Union (UASU) chapter of the university informing the union of an impending decision to declare redundancy on some of the staff.

In the notice dated April 2, Kotut noted that this decision was a result of a decline in the number of students, which has led to the university struggling to raise enough revenue to meet financial obligations.

“In accordance with Section 40 of the Employment Act 2007, Laws of Kenya, and the provisions of the Collective Bargaining Agreement (CBA) between Moi University and the Universities Academic Staff Union (UASU), we hereby give formal notice of an intention to declare redundancy affecting a number of employees who are members of your union,” part of the notice read.

“This decision has been necessitated by a reduction of revenue brought about by a decline in student numbers. This has created a difficult operating environment, making it a challenge for the university to meet its financial obligations, including payment of employee emoluments.”

The administration block at Moi University in Eldoret
The administration block at Moi University in Eldoret
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Moi University

The firing of these employees is expected to adjust the workforce in a way that will ensure the sustainability of the embattled university that has been facing several obstacles over the past few years.

However, the VC noted that it will engage with the affected staff and their union representatives to ensure the transition is made legally.

“Our objective is to explore all possible alternatives to limit the impact of the redundancy, including potential redeployment or alternative roles where possible,” the statements read.

“We will ensure full compliance with the provisions of the Employment Act, individual contracts, and the UASU CBA 2012/2013.”

Those who will be fired will be eligible for severance pay, salary in lieu of notice, payment for accrued leave days, and any other unpaid benefits due to them.

"All necessary deductions will be made in accordance with the applicable statutory requirements," the VC noted.

Although details of the employees to lose jobs were not availed, the notice stated that names of those affected and the proposed timeline for the redundancy process would be communicated soon.

The redundancy comes barely a month after the government announced a Ksh1.8 billion bailout of the troubled university. According to the university council, the institution owes over Ksh12 billion to salary arrears and unremitted pension contributions, among others.

A file image of the Moi University
Entrance to Moi University
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Moi University