Uchumi closes 5 branches, fires 253
21 March 2016, 22:07
Nairobi - Uchumi Supermarkets Limited on Monday shut down five of its outlets in Kenya to cut costs.
executive Julius Kipng’etich said in a report on the Daily Nation, the closure of the branches is aimed
at reducing the retailer’s operational costs enabling it to concentrate
its efforts on a leaner structure.
defended the shock move even at a time the loss-making retailer is
implementing a growth strategy, insisting that the publicly traded
retailer “is well on track to recovery”.
will enable us channel our resources to fewer branches and optimize
operations for maximum gain,” said Mr Kipng’etich.
Read also: Why Peter Kenneth turned down Jubilee
The Standard reported further that the affected branches are Taj Mall, Embu, Eldoret Sugarland, Nakuru and Kisii.
The closures will render redundant 253 employees, who will be laid off.
Kipng’etich said the retail chain had adhered to all the required legal
and statutory requirements in implementing the decision.
November 17 last year, the retailer made shock exits from neighbouring
Uganda and Tanzania to stem what Dr Kipng’etich said then was excessive
Before then, the retailer had closed two of its outlets in Kenya — one in Rongai and the other in Syokimau.
For the latest on national news, politics, sport, entertainment and more follow us on Twitter and like our Facebook page!