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Tuskys saves face amidst pressure from Government

Tuskys saves face amidst pressure from Government

Tuskys today launched an amazing partnership with the cooperative movement through the Cooperative Corona virus Response Committee (CCRC).

The initiative was launched in a bid to respond to the needs of members of different cooperatives around the country and other vulnerable populations during this period. The chief guest was Ali Noor, PS State Department of Cooperatives.

This comes after Tuskys Supermarket was put on the spot for not paying suppliers. In response, Tuskys says it has apologized to suppliers whose payments have been restructured as a result of COVID-19 pandemic.

In a letter dated May 14th, 2020 to Phyllis Wakiaga, CEO Kenya Association of Manufacturers(KAM), Tuskys CEO Mr. Dan Githua said the payments rescheduled in April will be progressively released on in May and to continue to June.

Trade Cabinet Secretary Betty Maina is on record for saying that the retailer, which is operated by Tusker Mattresses Ltd is now on the ministry’s watch list for failing to meet its contractual obligations with suppliers.

“The ministry has received the report and has been engaging with both the retailer and the suppliers and monitoring the situation closely,” said Ms Maina. “This matter was brought to our attention in April. It is something which we are monitoring and engaging closely with Tuskys. Nobody wants to see businesses go under. The measures which have been put in place by both parties are being monitored by the ministry and reviewed on a weekly basis,” she added.

Githua has in the past assured its suppliers, made up of small business owners, that it will continue to support them as part of its vital supply chain even as numerous businesses struggle to stay afloat during these tough times.

Tuskys which employs almost 6,000 workers and operates over 63 branches in Kenya and Uganda now joins the list of struggling retailer outlets after giant retailers like Nakumatt were ousted out of business. Tuskys is however not the only struggling business as Uchumi Supermarkets, another regional giant continues to sink further after failing to pay off creditors, among them suppliers, banks and workers.

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