Job cuts loom as Nestlé reorganises its business in Sub-Saharan Africa

david nganga

May 30, 2018 4:31 PM

The firm said it is embarking on reorganisation of its Sub-Saharan Africa operations to stay afloat

Global food processor Nestle has announced plans to close its Equatorial Africa Region (EAR) office

The consumer goods manufacturer said it is embarking on reorganisation of its Sub-Saharan Africa operations to stay afloat.

“Our team in EAR has done a tremendous job, but after trying for nearly ten years we can no longer sustain the cost of the regional head office with the size of the business there," read a statement from the company.

Nestlé Kenya - one of the operating companies under Nestle EAR - has over 100 employees at its head office majority of whom are Kenyans.

Minimize impact

The firm said it will close the EAR office by end of July and redistribute the responsibilities between the head offices of the two other regions on the continent in Accra and Johannesburg.

“We understand this is unsettling for those employees affected. We will strive to minimize the impact of the changes, holding consultations with them to achieve this. We are very grateful for their contribution to the growth of our business in Sub-Saharan Africa and will do our utmost to give them strong support through this process,"the company said.

The EAR office in Nairobi covers twenty countries including Madagascar, Malawi, Mauritius, Republic of Congo, Rwanda, Seychelles, Somalia, Southern Sudan, Tanzania, Uganda, Zambia and Zimbabwe.