Moi University has announced the termination of 800 employees due to financial difficulties. The move comes after a “Right-Sizing Exercise” aimed at addressing ongoing financial challenges facing the institution.
According to a termination letter issued to affected staff, the layoffs are part of a restructuring process in compliance with Section 40 of the Employment Act, 2007. Additionally, relevant Collective Bargaining Agreements. The university emphasized that the decision was not based on employee performance or conduct. But was a necessary response to the current economic strain.
The letter, signed by Prof. Loice Maru, the Acting Deputy Vice-Chancellor in charge of Administration, Planning, and Strategy, stated that employees would receive all terminal benefits, including notice pay, severance, accrued leave days, and other dues as outlined in their contracts.
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The employees have been given 30 days’ notice, after which their termination will take effect. Final payments will be processed and deposited into their bank accounts. The university also requested that staff return any institution property. This is before their final working day to ensure a smooth clearance process.
This mass layoff is one of the largest in the university’s history and underscores the financial crisis facing public universities in Kenya. It follows growing concern over underfunding, ballooning wage bills, and reduced capitation from the government.
Moi University becomes the latest public institution to implement drastic cost-cutting measures. This is with many now questioning the long-term sustainability of Kenya’s higher education sector.