The retail chain, Tuskys Supermarket has sent home hundreds of staff in a move the retailer termed as business operation realignment.

The cash crunched retailer terminated some of its employees’ contract effective September 22 and informed them of full dues for the days they worked by February 13, 2021.

“Due to the ongoing business realignments, Tusker Mattresses Limited hereby informs you that it will no longer continue to offer you employment and will terminate your employment contract with effect from September 22,” reads a letter from Tuskys Human Resources General Manager Francis Kimani.

Tuskys had sought to trim pay to staff by between 20 and 30 percent through the reduction of work hours from 45 in a week to 36, according to a report by Citizen Digital.

It had indicated its Ksh200 million monthly wage bill which became indefensible due to economic effects brought about by the coronavirus pandemic.

In April, the struggling retailer shut down three of its branches in Kitale, Nyali and Mombasa.

And now, it risks been thrown out of Greenspan Mall in Nairobi’s Donholm over unsettled rent.

Latest wave of layoff comes hardly a month after Tuskys launched campaign to relaunch its brand countrywide on September 8.

The supermarket re-launched Kilifi and Malindi retail stores as part of efforts to restore customer confidence.

COVID-19 pandemic has made many of the retailer’s customers to have less disposable income that has made them spend less thus leading to a decline in sales.

Supplier debt coupled with a drop in business in the retail space, occasioned by COVID-19, has in the last two months threatened its business with the retailer forced to close some branches on reduced cash flow.

It is clinging on hope to stabilise its business in the region after it received Ksh500 million from the recently announced Ksh2 billion loan from a Mauritius based private fund.