Postal Corporation of Kenya (PCK) has declared all senior management positions redundant amid tough financial challenges.

PCK said the restructuring will see the corporation reduce its wage bill ratio from 82 percent to 50 percent by the end of the new Corporate Strategic Plan (CSP) period (2023–2027).

“All Management positions, that is, PCK/MG2 to PCK/MG4 were declared vacant immediately for any eligible applicants internally first,” PCK said.

“The implementation process for PCK/MG5 and PCK/MG6 will commence early next year and is expected to end on or before end of March 2024.”

The Information, Communication, and Technology (ICT) Ministry last month approved retrenching at least 504 PCK employees, shrinking the headcount to 1,860.

PCK expects to slash monthly salaries for staff from Kes 122 million to Kes 70 million after the cut.

“We will be sending home 504 workers in February next year. The plan has been approved by our parent ministry,” PCK Postmaster-General and Chief Executive Officer John Tonui said.

The restructuring exercise will cost the corporation Kes 1 billion.