Companies are closing down at an alarming rate.A company laying off 1,200 workers in January on top of over 350 retrenched a year earlier is no easy matter.
But does this Gatheca government care, wapi ile ghasia ya Jubilee development?
And to make it worse they are relocating to Tanzania.
Old SDV Transami(Bollore logistics) closes its Kenyan operations -MD Jean Naud
by George Charo 1 day ago
Bolloré Kenya Managing Director Jean-Pascal Naud. PHOTO | NMG
Bolloré Kenya Managing Director Jean-Pascal Naud and Jason Reynard, Bolloré Transport and Logistics CEO East Africa Region could not bear the burden of facilitating Kenyas’ SDV Transami(bollore) due to bad economy.
The company through a memo indicated that from February 2020 the company will close its Kenyan doors. Closing the veteran logistic company is a big blow in the freight and logistics frugality.
More than 1200 workers are facing the shocker after the Memo. Already the company has set aside a budget for all employees dues which will be paid before the end of January 2020.
The firm, which has lately lost out on several lucrative deals, says industry policy changes including implementation of the standard gauge railway (SGR) have affected cargo handling processes leading to reduced business.
Sources at the company said that the firm has lost more than 500 trucks after owners withdrew them due to non-payment. This has made it difficult for the firm to deliver on its contracts.
The company, however, operates several go-downs in Mombasa. Some of its properties have been handed over to another french based firm CMA CGM.
The management turned to cost-cutting measures by retrenching its employees last year November 2018 where 357 employees were retrenched.
"Some of the mobile properties and assets were transported to Tanzania. Our new headquarters for East Africa will Tanzania, " said Jason Reynard.
The old shipping, Warehouse, and logistics firm lost UPS contract in 2015. Later parted ways with Delmas International, Galawa Marine Services and CMA CGM.
Other struggling companies that have sold some of its trucks include; Hakika transporters, Volcanic holdings and transporters, and pearl logistics. These companies have embarked on the real estate business.