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Home » Business & Economy » Mediamax plans job cuts in major restructuring push to simplify operations
Business & Economy

Mediamax plans job cuts in major restructuring push to simplify operations

Michael WandatiBy Michael WandatiJuly 16, 20253 Mins ReadNo Comments
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K24 TVs news desk
K24 TVs news desk

NAIROBI, Kenya — Mediamax Network Limited has issued a notice of intention to declare redundancies, becoming the latest major firm to be impacted by a growing wave of job losses sweeping through Kenya’s private sector.

In an internal memo dated July 14, 2025, Chief Executive Officer Ken Ngaruiya indicated that the company is undertaking a “strategic restructuring and reorganization of its business operations to enhance overall efficiency and effectiveness in response to evolving market dynamics.”

The media conglomerate cited several compounding factors aggravating an already strained operating environment. These include the impact of delayed payments from both national and county governments, unfavorable regulations pertaining to betting advertisements, and critically, the “National Government’s decision to single-source one media entity for advertising.”

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The memo further elaborated on the underlying reasons for the reorganization: “The restructuring has been driven by challenges in the macro business environment, rapid digital advancement, innovation, a significant reduction in business volumes, a decrease in the clientele base, and a comprehensive review of internal operational processes over the last two years.”

It continued, highlighting the specific pressures on the media industry: “These issues have further been aggravated by factors affecting the media industry in Kenya, including delays in the settlement of pending bills from both the National and County Governments, the National Government’s decision to single-source one media entity for advertising, and the introduction of unfavourable conditions on betting and gambling advertising by the National Government.”

The planned reorganization will involve a staff optimization exercise, which includes a realignment of roles, streamlining of staffing levels, and potential redundancies across various departments. The redundancy notice, which took effect from July 15 and runs until August 15, 2025, assures full compliance with Section 40 of the Employment Act, 2007. It also guarantees payment of all terminal dues, including severance pay, accrued leave days, and compensation in lieu of notice.

Mediamax’s decision underscores a broader employment crisis currently gripping Kenya’s formal sector.

According to data from the Federation of Kenya Employers (FKE), a concerning total of 57 companies have declared redundancies since 2022, resulting in the loss of approximately 5,567 jobs. In just the first half of 2025 alone, over 3,700 additional workers have been laid off.

Also Read: Ruto dispels claims of new youth unemployment crisis, highlights structured job creation efforts

Notable companies that have either downsized significantly or fully exited the Kenyan market include Procter & Gamble, which laid off 850 employees in December 2024; De La Rue (300 layoffs); Unga Group (50); Twiga Foods (250); CIC Insurance (75); MC Motors; and Radio Africa, which recently let go of 27 staff members. Furthermore, AMREF, impacted by reductions in USAID funding, released over 400 workers, while KK Security and Posta Kenya laid off 1,000 and 600 employees, respectively.

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With persistent inflation, high taxation, and a rapidly evolving digital landscape continuing to exert pressure on businesses, Kenya’s corporate sector is navigating one of its most challenging phases in recent years, casting a significant shadow over job security for thousands of workers.

Corporate downsizing in Kenya Effects of digital disruption on media Government single-sourcing media advertising Impact of betting ad ban in Kenya Jobs Kenya job losses Kenya media job cuts Kenyan companies layoffs Kenyan private sector job losses Media house challenges in Kenya Media industry restructuring Mediamax layoffs Mediamax Network Limited Mediamax redundancies Mediamax staff restructuring
Michael Wandati
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Michael Wandati is an accomplished journalist, editor, and media strategist with a keen focus on breaking news, political affairs, and human interest reporting. Michael is dedicated to producing accurate, impactful journalism that informs public debate and reflects the highest standards of editorial integrity.

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