25 Oct 2020


Labour Minister Threatens To Shut Down KCB

South Sudan’s Minister of Labour, Public Service and Human Resource Development, Gathoth Gatkouth Hothnyang has threatened to shut down Kenya Commercial Bank over the dismissal of 66 national staffs by the bank.

Labour Minister Threatens To Shut Down KCB

By Ojwe Lumara

JUBA, 16 April 2018 [Gurtong]-
The dismissed staffs had in January gone on strike demanding increment of salaries to match the ever increasing market prices.

In an interview on Thursday last week, Minister Gatkouth said the bank’s management should have solved the crisis instead of dismissing those who participated in a legal industrial strike.
He said he had directed the bank to reinstate the staffs.

“If they don’t comply with what we have written to them, then we will go for the next steps,” The minister said. “The next steps of course will be many things one of them is closing the branches completely because it is not doing anything to us now since it is victimizing our people,” he said.

“Since even our national staffs are not getting money. It is only the foreigners who are getting dollars and our national staffs are not getting anything,” the Labor Minister added.

He said another step will be to either pay all the national staffs salaries  equivalent to dollars, or all of them be paid in dollars.

The management of Kenya Commercial in a statement Friday confirmed they had received the directives from the Labour Ministry.

“We are weighing the options at our disposal and we are optimistic that this issue will be resolved in a realistic, fair and workable manner,” the statement said.

KCB said “the review of our work force and operations has been done in keeping with the best business practice in a tough operating environment.”

The statement added that the action for dismissal of the 66 staffs was carried out in line with KCB Group’s overall operational and governance structures and in strict adherence of national laws.

The labor minister had also threatened to expel KCB’s managing director, Mr. Harun Kibogong.
The labor Minister said they had agreed with KCB not to sack the staffs, not to refuse to pay their salaries, and not to close branches until the crisis was resolved.

“We are saying KCB has violated the laws of the country, KCB must inform us first before they took action but they failed to do that,” he said.

The Minister said after the dismissal of the 66 national staffs, they ordered the sacked staffs to return for work without preconditions but the bank did not listen.

“Don’t tell me that because of the economic crisis you are making reductions which is not true, I hope KCB understands this,” Gatkuoth said.

“You cannot send to the streets 66 national staffs in one day in this time when the economic situation is terrible, when someone is not prepared. This is injustice,” added.

The Minister said the dismissal was intentional because they only targeted those who had gone on strike.


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