The Fairmont Hotels has halted a decision it had made to fire all employees a few days after Government demanded an explanation over the same.
According to the Hotels group, they arrived at the decision to rescind the firing to allow for consultation with other stakeholders.
In May 28, the Fairmont Norfolk hotel in Nairobi announced that it had closed its doors indefinitely.
Memos from the Hotel's management, said it had not been able to pay salaries to employees following the effects of Covid-19 in the country.
The management then resolved to close down after it was apparent that they could still not fulfill a payment deal reached with its employees.
"In reference to the memo dated April 30, 2020, we regret to inform you that the company is rescinding the agreement made with employees in regards to half pay in May 2020. Consequently, effective May 1, all employees will be on unpaid leave until advised otherwise," Axel Hauser, the Norfolk General Manager stated in his final memo to employees.
Upon their announcement, Solicitor General Kennedy Ogeto wrote a letter to the management seeking an explanation on the mass firing.
"This matter is of public importance and great concern to the Government and in view of the Attorney General’s mandate to promote, protect and uphold the rule of law and defend the public interest, this Office should be very grateful if you would provide it with clarification regarding the said media reports and complaints from employees, including on the veracity thereof and the justification for the taking of such action, if this is the case," Mr Ogeto's letter read in part.