By Nsunjo Erica
Shoprite Supermarket Kenya is set to lay off 115 workers as it shuts its Nyali Branch in Mombasa this month, following the impact of the decline in business that has boosted its inability to stay afloat in the Kenyan market.
“Endeavors to continue trading at the Nyali branch is no longer viable,” read the notice to the union signed by Shoprite Human Resources manager Carolyne Walubengo.
“It should be noted that the branch will cease trading operations on a sooner date but this will not prejudice employees as they will continue to continue the services at said branch until the termination date,” added Walubengo.
About three months back, Shoprite supermarket closed its Waterfront branch in Karen putting 104 individuals out of work, and currently, over 115 are yet to be rendered unemployed after the Mombasa branch is shut down.
The retailer has already notified the Kenya Union of Commercial Food and Allied Workers (KUCFAW) and invited them for a consultative meeting on Wednesday with their terminations set at the end of this month.
Shoprite’s Nyali branch currently employs over 115 workers of which 92 are members of KUCFAW, the shutting down of this branch is to put these workers out there into the job-seeking market during these hard times.
Shoprite retailing company has branches in 15 African countries, opened its first store in Kenya in 2018, aiming to take advantage of the gaps in Kenya’s retail sector after the collapse of top supermarkets including Uchumi and Nakumatt.
According to sources, the retailer has failed to crack down the Kenyan Market to retain its stay in business, therefore, current indications are that it may exit Kenya permanently.
The coronavirus pandemic has hit hard several businesses across the globe disrupting supply chains and reducing purchasing power however, the Shoprite notice didn’t point at the pandemic as the reason for its closure.