Moi University Fires 800 Employees Amid Financial Crisis

By The Star Reporter | May 15, 2025

Moi University has officially terminated the contracts of 800 employees in a major restructuring move aimed at addressing its ongoing financial challenges.

University Cites Financial Constraints

In a notice issued to the affected staff, Deputy Vice-Chancellor Loice Maru explained that the university is undertaking a right-sizing exercise due to budgetary pressures that have impacted operations across all departments.

“Following a comprehensive review of our operational needs and long-term sustainability, your position has been identified among those affected by the redundancy process,” the DVC stated in a formal communication.

Termination Based on Employment Act

The layoffs are being carried out in accordance with Section 40 of the Employment Act, 2007 and the relevant Collective Bargaining Agreement signed with staff unions. The notice confirms that the affected employees will receive their rightful dues including:

• Notice pay or pay in lieu of notice
• Severance package
• Accrued leave
• Other contractual dues

Layoffs Not Based on Performance

The university clarified that the layoffs are purely a response to financial difficulties and not a result of individual employee performance.

“Please be assured that this decision is not a reflection of your work ethic, but rather a necessary response to factors beyond our control,” said Maru.

File image of Moi University layoff notice. (Photo/The Star)

Next Steps for Affected Employees

Employees have been instructed to return any university-owned property in their possession by their last working day. Final payments will be deposited into the staff’s bank accounts as per payroll procedures.

The redundancy will take effect 30 days from the date of notice.

Wider Sector Challenges

This development highlights broader struggles facing public universities in Kenya, many of which are grappling with reduced government funding, increasing wage bills, and student enrollment challenges.

Moi University has reiterated its commitment to supporting affected employees during this transition period and maintaining open lines of communication.