Jubilee Insurance is set to fire at least 52 of its full-time employees, further adding to the long list of firms that have sent home workers in the face of a biting economy.
The insurer currently has 628 full-time workers and the laying off of the 52 comes after the firm applied for the split of its medical and general insurance businesses.
The Insurance Regulatory Authority (IRA) has already approved the application by Jubilee Holdings to split its products to “increase efficiency” and management in the running of the business.
The company has now created two new subsidiaries; house medical and general underwriting business. The company has been trading at the Nairobi Securities Exchange (NSE) as Jubilee Insurance Company of Kenya Limited. The company has now created a new medical insurance known as Jubilee Health Insurance Limited.
In 2019, it is estimated that more than 25,000 Kenyans lost their jobs as companies struggled to remain afloat by cutting down on their workforce. Within the last three months to August 2019, more than 8,000 people lost their jobs.
The majority of companies that have fired their employees have blamed the cost of doing business in Kenya coupled with the low purchasing power among Kenyans as a result of low cashflow.