Rivatex East Africa SEZ Limited is implementing a sweeping
layoff of employees as part of its ongoing restructuring programme, citing
redundancy in line with the Employment Act, 2007.
In an internal memorandum dated September 3, 2025, and
addressed to all employees, Acting Managing Director CPA Stanley Bett confirmed
that the textile company is terminating contracts across the board under the
leasing framework.
“Following the ongoing restructuring of Rivatex East Africa
SEZ Limited under the Leasing framework, and in accordance with Section 40 of
the Employment Act 2007, the Company hereby issues notice of termination of
your services on account of redundancy,” the memo read in part.
According to the notice, the retrenchment affects both
fixed-term and permanent employees. Staff on fixed-term contracts that expired
on August 30, 2025, will not have their contracts renewed.
Meanwhile, employees on permanent and pensionable terms will
face termination effective September 3, 2025, with a three-month notice period.
Their final working day will be November 30, 2025.
Bett assured staff that the process will adhere to all
applicable labour laws and guidelines provided by the Ministry of Investment,
Trade and Industry.
“The company shall follow the due process provided in all
applicable labour laws regarding employment separation on the account of
redundancy and guidelines provided by the Ministry of Investment, Trade and
Industry and any other relevant guidelines,” Bett stated.
Employees have been promised payment of all pending dues,
including salaries up to August 31 for fixed-term staff and up to November 30
for permanent employees. A
ny other lawful outstanding payments will also be settled.
“Salaries of employees on fixed-term contracts shall be paid
up to 31st August 2025. Salaries of employees on permanent and pensionable
terms shall be paid up to 30th November 2025 on a monthly basis as per the
existing terms,” the memo outlined.
The management also directed staff to clear with the Human
Resource Division to facilitate the release of dues and issuance of
certificates of service.
The announcement has sparked anxiety among the workforce,
with some employees expressing shock at the sudden move.
“We did not expect this scale of layoffs. Many of us have
worked here for over a decade, and it is painful to be sent home just like
that,” said one worker who requested anonymity for fear of victimization.
Labour unions are expected to weigh in on the matter in the
coming days, as mass redundancies in Kenya’s manufacturing sector have often
attracted scrutiny over compliance with fair labour practices.
Despite the harsh news, Bett, speaking on behalf of the
Board of Directors, extended appreciation to staff for their years of service.
“On behalf of the Board of Directors and the Management, I
wish to sincerely thank you for your dedicated years of service and wish you
success in your future endeavours,” he wrote.
The restructuring at Rivatex comes at a time when Kenya’s
textile industry is grappling with stiff competition, rising operational costs,
and pressure to align with regional and global value chains.
