A new survey by the Federation of Kenyan Employers (FKE) indicated that the COVID-19 pandemic destroyed 80 per cent of all formal private-sector jobs created since 2015.
The survey put job losses marked by the modern private sector between March and July this year at 173,743 jobs against 218,800 new jobs in the formal private sector between 2015 and 2020.
According to the survey which involved 122 private sector firms, the mean number of employees in each entity fell to 372 as of August 1 from 405 on February 25.
This trend is expected to continue with 51 per cent of firms indicating plans to further cut their workforce over the next six months.
“These, unfortunately, indicates that more jobs will be lost with more than one million incomes being at risk, “said FKE Executive Director Jacqueline Mugo.
The jobs lost between March and July represent 8.3 per cent of the entire formal private sector which stands at 2.06 million.