Embattled betting firm SportPesa whose license to operate in Kenya was withdrawn, has laid off 400 workers from its operations.
SportPesa has been at war with the government over alleged failure to remit tax which led to revoking of its business license.
The betting firm joins a long list of companies in 2019 that have shed off manpower, owing to the harsh business environment. Betin Kenya, another betting firm that entered into a war with the government, cited lack of profitability while laying off its workers.
“…As a result of the deterioration of the profitability, the management has had to rethink its operations model and proceed with the exercise of termination on account of redundancy,” read the memo in part.
Sanlam Insurance company also issued a notice to lay off its staff, then came MediaMax Limited who cited redundancy.
Kenyans on twitter took to social media to lament the state of employment in Kenya, as graduates who have spent millions to get certificates, end up being locked away in suitcases.
A section of Kenyans pointed an accusing finger at fellow Kenyans, citing that this is all a result of voting in popular leaders who have no idea on how to create lasting solution to unemployment.
Currently, the unemployment rate stands at 9.3% as of December 2018.
Unemployment in Kenya is attributed to the increase in population, surpassing the demand of the workforce in the country. Improper use of funds directed to develop capital, infrastructure and amenities that create jobs has also robbed the unemployed of a chance to impact the skills they learnt.
As the government of Kenya edges towards a 100% educated population, Kenyans are critical on whether there is enough jobs to accomodate the increasing number of skilled personel.