Universities Grapple with Budget Shortfalls: Rongo University Lays Off 137 Employees.
Rongo University, a tertiary institution located in Kenya, has recently laid off 137 employees due to financial difficulties resulting from reduced funding.
The layoffs affect both lecturers and non-teaching staff, and have been undertaken as part of a wider restructuring effort at the university.
According to a statement from the university’s Vice-Chancellor, Professor Samuel Gudu, the decision to lay off employees was driven by a number of factors, including reduced capitation from the national government and a difficult economic environment.
Despite rising costs of running the university, capitation from the government has remained constant over the past few years.
Furthermore, the number of self-sponsored students has decreased since 2016, leading to a reduction in the institution’s finances.
Financially-crippled Egerton University
Egerton University, which is facing financial difficulties, has recently announced its plans to lay off hundreds of its staff.
Although the university has not given a specific timeline for the layoffs, this news has caused anxiety among the academic and non-academic staff members at the Njoro-based campus.
According to Vice-Chancellor Isaac Ongubo Kibwage, the notice to retrench hundreds of workers that was issued last year is still valid.
He stated in a message posted on the university’s website that “the notice of intention to declare redundancies is still active.”
When asked about the number of non-teaching and academic staff members who will be affected by the layoffs, the VC stated that he could not provide a specific number at this time.
However, he assured that the staff reductions will be conducted in a consultative manner and will affect all cadres.
Financial difficulties
Many universities have been experiencing financial difficulties in recent years, and the COVID-19 pandemic has exacerbated these issues.
The cost of running a university, including salaries, infrastructure maintenance, and research and development, can be quite high.
When universities face budgetary shortfalls, they may be forced to take drastic measures such as staff reductions to stay afloat.
The layoffs are expected to have a significant impact on the affected individuals, who will now need to seek alternative employment opportunities.
It is important to note that the consequences of these layoffs will be felt beyond just the affected individuals.
The quality of education at Universities may be impacted by the loss of experienced staff, and the institution’s ability to attract and retain students could be compromised as well.
Universities Grapple with Budget Shortfalls: Rongo University Lays Off 137 Employees.