The Drama at Pride Center took another twist this morning as 400 retrenched employees were sent on compulsory leave until further notice. Just a day after the Industrial Court ordered Kenya Airways to reinstate 400 employees who had been sacked in September, the lot has been sent on 'compulsory paid leave until further notice'.
The workers who reported to work this morning following the court decision yesterday, were handed letters marked 'Redeployment' which according to sources, they refused to sign. Kenya Airways management then decided to send the whole lot on compulsory leave, with pay until when further action will be taken.
Making the ruling yesterday, Industrial Court Judge James Rika termed the retrenchment exercise by Kenya Airways as ‘unlawful’ as regards the new Kenyan Constitution.
Kenya Airways embarked on a massive staff layoff in August sending home more that 500 employees in a cost cutting measure at a time when the airline industry has been hit by high operation costs mainly due to fuel costs. In an earlier statement Kenya Airways said its labour costs have more than doubled in the last six years to KES 13.4 billion in the last financial year from KES 6 billion in 2007 .
According to reports, as of March 2012, the airline’s employee headcount stood at 4,834 with at least 14% of them being overseas employees.
The airline has been flying through turbulent times in the last few months with staff unrest, customer complaints and loss of passenger numbers due to competition both on local and international routes.
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