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moves money TechCabal July 02, 2026

Kenya court says restructuring alone cannot justify layoffs, raising startup risks

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A Kenyan court has raised the legal bar for employers seeking to lay off workers, a decision that could have far-reaching implications for startups, which have used redundancies to slow cash burn amid a funding slowdown. The Employment and Labour Relations Court on June 25 ruled that companies cannot use restructuring or reorganisation to justify job cuts. They must prove that a genuine operational change has made a role unnecessary, meaning employers will face greater scrutiny if workers challe

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