Oil marketing company Ola Energy announced it is laying off an undisclosed number of workers in its Kenyan outfit.
This is as it restructures to boost profits and local market share over the next five years.
Ola said on Wednesday that the current operating environment is challenging for it to sustain its current fixed costs.
The oil marketer said that since 2024, it has initiated a “rescue action plan” for its Kenyan business to turn around the company’s trajectory, including increasing sales and reducing costs.
The restructuring is part of these efforts, Ola said.
“It is, therefore, with deep regrets that we need to implement a redundancy program,” a statement from the company read, adding that the process “would be managed with the utmost sensitivity and in full accordance with the laws of Kenya.”
Ola has over 1,200 service stations in 17 African countries, where it employs 1,500 people directly.
In 2019, when it had 189 staff, the company shed off workers through a voluntary early retirement exercise.
The oil marketer joins a growing list of high-profile companies that have announced job cuts in recent months over a tough operating environment, despite the government’s repeated defence of Kenya’s economic performance.
Last November, Tile and Carpet Centre announced layoffs at its Athi River production department, citing economic and production challenges.
Global security firm G4S said it was sending home 400 workers, while the listed advertising agency WPP-Scangroup laid off 102 employees last May.
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