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Kenya Power cuts staff size for the first time in 15 years

Jared Othieno
Kenya Power acting managing director Jared Othieno. FILE PHOTO | NMG 

Kenya Power #ticker:KPLC slashed its payroll by 302 employees in the financial year ended June 2018, marking the first time in 15 years that the company failed to grow its staff size.

An annual report of the power distributor whose net profit also sunk to a 10-year low shows that it closed the year with 10,993 workers, a 2.7 per cent decline in staff size from previous year’s headcount of 11,295. Five out of the 11 regions registered reduction in headcount in the organisation that was also dogged by accusations of inflated power bills and delays in reading meters.

The drop means that one staff is serving 615 customers going by information on staff ratio contained in its report. The firm closed the year with 6.76 million customers.

Kenya Power acting CEO Jared Othieno says the ratio shows an improvement in efficiency from the previous year of 1:547 and a low of 1:261 five years ago.

“Staff to customer ratio is an important productivity indicator that measures the level of engagement of staff in serving the customers for optimal utilisation,” he said in the report.

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“In the medium term, the company will adopt a Workforce Management System to effectively manage staff productivity and costs.”

The drop came in the year nine of its senior managers were suspended and charged for corruption. The firm in the same period also sacked more than 20 employees following an internal audit that unearthed corrupt tender dealings.

This development cuts the trend established in 2004 when the State-owned firm has been growing its headcount year in year out.

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