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Governor Sakaja’s directive to result in 10,000 job losses

Kevine Otieno has moved to court to challenge Governor Johnson Sakaja's directives to close noisy nightclubs in Nairobi in the residential areas

Governor Johnson Sakaja [Twitter]

In a bid to curb noise pollution in residential areas, Governor Sakaja’s directive will result in the loss of 13,000 jobs and Sh390 million per month according to Kevine Otieno Ondago who has moved to court to challenge Sakaja’s decision.

According to a local newspaper, Kevine revealed the closure will have a direct impact on the country’s economy and employment sector.

Ondago who filed the petition through Lawyer Peter Wanyama also estimated that 10,000 jobs and Sh100 million per month paid to temporary employees will not be required due to the reduction in operations within nightclubs as reported by the source.

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He further claimed that 73,600 indirect jobs representing Sh1.6 billion per month in indirect employment income will be lost in Nairobi.

Each night club operate with about three Disc Jokers (DJs) or a band who entertain patrons. Each DJ earns an average of Sh50,000 per night. With the declaration by Nairobi County, nightclubs will have to lay off two out of the three DJs per club, leading to over 800 DJs with a total income loss of Sh40 million per night," said Wanyama.

He added that each nightclub pays an annual license fee of Sh13,000 per license which translates to a revenue of Sh52 million in liquor license fees paid to the county government every year.

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It is also expected that the ban on nightclub licenses will take bar sales back to the COVID-19 period, where overall consumption of legal alcohol had declined by 30 per cent.

Ondago added that the ban has a negative value chain impact on smallholder farmers and local suppliers who provide raw materials for manufacturing.

According to him, the county government should have carried out public participation before making the decision.

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