Telkom Kenya, which rebranded from Orange in June last year, is set to send home about 500 employees as part of a restructuring exercise.
In statement issued today, the telco – the third largest in the country in terms of subscriber base – has issued the requisite 30-day notice to relevant authorities and company stakeholders of its intended workforce-restructuring exercise.
“In the statutory notification to the Ministry of Labour, Telkom Kenya has indicated that it is considering declaring about 500 employees, redundant… To enable Telkom to invest more into the growth and sustainability of its business, it must align its cost structure and skill-set with its Strategy. This requires Telkom to restructure its business, and as a result, this will impact the current and long-term needs of its workforce. This restructuring will enable Telkom to not only invest in its business but more importantly in its people,” notes the statement.
According to CA’s latest stats for April to June 2018, Safaricom lost its market share by 1.6 percentage points while Airtel and Telkom Kenya gained by 1.7 and 0.2 percentage points respectively. Finserve Africa lost by 0.1 percentage points whereas the market shares for Sema Mobile and Mobile Pay remained unchanged during the period under review.
Safaricom’s subscribers currently stand at 29.8 million, Airtel Kenya’s at slightly over 9.74 million with Telkom Kenya coming in third with 3.9 million customers. Equitel is fourth with 1.9 million users.
When it comes to mobile money, Telkom Kenya currently has 16,554 agents, 63,023 active subscribers handling some 78,504 transactions. In terms of the value of transactions, the Telkom Kenya’s mobile money platform – T-Kash – has handled Kshs 118 million with person-to-person transfers accounting for Kshs 13.9 million of the volumes moved.