Moi University Staff Sacked as Institution Faces Financial Crunch

Moi University has sent home over 900 employees under a redundancy plan due to financial challenges.

The affected employees have already received letters declaring them redundant.

Some of the letters seen by the Kenyan Corporates are signed by acting Deputy Vice Chancellor Loyce Maru.

The university issued the termination letters on Wednesday and directed the affected employees to clear with the respective departments.

“We regret to inform you that due to financial constraints currently facing the university, a decision has been made to implement a right-sizing exercise, which we have carried out in compliance with Section 40 of the Employment Act, 2007 and the provisions of the applicable Collective Bargaining Agreement,” stated a memo signed by Prof Loice Maru, Ag Deputy Vice-Chancellor, Administration, Planning and Strategy.

The university says letters serve as notice of termination of employment and will take effect 30 days from the date of issue.

“You will be entitled to receive all your terminal benefits in line with the Employment Act of 2007 and the relevant CBA,” says the letter.

Those affected are 372 unionisable members of KUDHEIHA, 380 members of the Kenya Universities Staff Union (KUSU) and 120 lecturers who are members of UASU.

UASU has opposed the move, terming it illegal and unprocedural.

Deputy UASU Secretary for the Moi University Chapter Nyabuta Ojuki says they have already moved to court to stop the exercise.

“The redundancies are illegal because the university has not followed laid down procedures in the law,” said Ojuki.

KUDHEIHA and KUSU said they would also move to court.

But in the redundancy letters, the university says it was acting in compliance with Section 40 of the Employment Act 2007 and relevant CBAs.

The university says all dues for affected workers will be channelled to their bank accounts, but no date has been given for the payments.

“We kindly request that you return any university property in your possession by your last working day to facilitate a seamless clearance process as stipulated in your employment contract,” says the letter sent out to the workers.

The university is facing a financial crisis, including debts amounting to over Sh10 billion.