Editor's Review

Rivatex East Africa SEZ Limited has announced mass layoffs affecting both permanent and contract staff.

Rivatex East Africa SEZ Limited has announced mass layoffs affecting both permanent and contract staff. 

In an internal memo dated Wednesday, September 3, Acting Managing Director Stanley Bett said the move is part of an ongoing restructuring process under the leasing framework.  

"Following the ongoing restructuring of Rivatex East Africa SEZ Limited under the leasing framework and in accordance with Section 40 of the Employment Act 2007. The Company hereby issues notice of termination of your services on account of redundancy," the memo read.

According to the communication, employees on fixed-term contracts whose terms lapsed on August 30, 2025, will not have their contracts renewed. 

On the other hand, staff on permanent and pensionable terms, as well as those on long-term contracts, will have their employment terminated effective September 3, 2025, with a three-month notice period leading to their last working day on November 30, 2025.

Bett assured the staff that the process will comply with all labour laws and government guidelines provided by the Ministry of Investment, Trade and Industry.

"The company shall follow the due process provided in all applicable labour laws regarding employment separation on the account of redundancy and guidelines provided by the Ministry of Investment, Trade and Industry and any other relevant guidelines," the memo added.

File image of Rivatex Acting Managing Director Stanley Bett

In terms of entitlements, employees on fixed-term contracts will be paid salaries up to August 31, 2025, while those on permanent and pensionable or long-term contracts will continue receiving salaries up to November 30, 2025. 

All other lawful outstanding dues will also be settled.

Employees have also been directed to complete clearance with the Human Resource Division to facilitate the release of their dues and issuance of certificates of service.

"You are all required to clear with the Human Resource Division as per your respective employment terms to facilitate the release of your dues and issuance of a certificate of service. 

"On behalf of the Board of Directors and the Management, I wish to sincerely thank you for your dedicated years of service and wish you success in your future endeavours," the memo concluded.

This comes over a month after Nzoia Sugar Company also issued a redundancy notice.

The notice, signed by Nzoia Sugar Managing Director Ezron Kotut on Monday, August 18, informed employees of the company’s intention to declare positions redundant from November 1, 2025.

"Following the recent government’s decision to lease all the state-owned sugar mills to private investors, I hereby wish to formally notify you of the Company’s intention to declare Nzoia Sugar Company Limited existing job positions redundant, effective 1st November 2025," the memo read.

Kotut noted that, following the development, the company would follow due process as per the labour laws on redundancy.

"The Company intends to follow the due process provided in applicable labor laws regarding employment separation on account of redundancy, the current Collective Bargaining Agreement (CBA) & guidelines provided by the Ministry of Agriculture and Livestock Development.

"The intention, at the point of separation, is to have all current regular staff paid their dues and entitlements in accordance with the applicable laws, the Collective Bargaining Agreement (CBA) & other relevant guidelines," the memo added.