– South African hospitality group Tsogo Sun has announced it will be closing its Southern Sun Mayfair Hotel in Nairobi on Friday, January 31
– The group will not renew its lease in Kenya and has since fired all its employees
– This comes at a time the Central Bank of Kenya (CBK) Governor Patrick Njoroge has warned of tough times ahead
The bad economic situation witnessed in 2019 continues in 2020 with job losses and rising cost of living.
This is even as Central Bank of Kenya (CBK) Governor Patrick Njoroge warned of tough times ahead.
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Nairobi’s Southern Mayfair Hotel is set to end operations in Kenya on Friday, January 31. Photo: Southern Sun Mayfair Nairobi.
Source: Facebook
South African hospitality group Tsogo Sun is the latest company to announce its exit from the Kenyan market after announcing it will be closing its Southern Sun Mayfair Hotel in Nairobi whose employees have been fired.
According to the Business Daily, the group will not renew its lease and will officially cease operations on Friday, January 31.
The hotel which has 171 rooms has faced increased competition over the last decade as the number of hotels in the country have increased. Photo: Southern Sun Mayfair Nairobi.
Source: Facebook “Employee contracts have been terminated after due consultation. All staff have been provided with the necessary support aligned with the labour laws,” the group said in a statement. The hotel which has 171 rooms has faced increased competition over the last decade which has seem the number of hotels in the country increase.The number of available hotel rooms has increased over the last decade as established brands have increased presence. Photo: Southern Sun Mayfair Nairobi. Source: FacebookAccording to a 2019 report by the Hotel Chain Development Pipelines, 27 new hotels will soon be opened in Kenya as launch of new properties has seen the number of available rooms hit over 20,000.In 2019, at least 2,000 jobs were lost between July and October of that year as some companies closed while others experienced significant losses leading to retrenchment of workers.Some of the firms that closed shop were Betin and Sportpesa while the East African Breweries Ltd, East African Portland Cement, Telkom and Sanlam Kenya reduced their staff capacity.The hotel’s imminent closure has sparked reaction on social media. Do you have […]
