Employees of East Africa Portland Cement Company (EAPC) have recently staged a protest against the appointment of Bruno Oguda Obodha as the company’s new Managing Director, citing concerns over a potential conflict of interest and questioning his technical qualifications for the role. The unrest erupted on Monday morning when workers blocked the company’s main entrance using heavy machinery to prevent Obodha from reporting to work. This act of protest escalated further when they shut down the company’s kiln, halting production at the cement manufacturing plant.
At the heart of the dispute is Obodha’s involvement with a real estate company that allegedly conducts business transactions with EAPC, particularly in land regularization. Workers argue that this connection creates a conflict of interest, potentially compromising the impartiality and objectivity required for effective decision-making at the top management level. One employee voiced the concerns, stating, “Mr. Obodha’s involvement in a real estate firm that directly transacts with EAPC through land regularization presents a glaring conflict of interest. This will compromise decision-making and raise ethical concerns about the impartiality and transparency required for the Managing Director role.”
The appointment has caused an outcry among the employees, who are questioning the rationale behind the choice of Obodha over other candidates. Notably, Mohamed Osman Adan, the current acting Managing Director, emerged as the top contender during the interviews conducted in November 2022. According to the interview results, Adan scored 88%, while Obodha scored significantly lower. Another candidate, Justa Mwangi, scored 63%. Despite this, Obodha was appointed to the position, a decision that has left many employees puzzled and dissatisfied.
The employees are also questioning why the president and the Ministry of Investments, Trade, and Industry chose to bypass the highly ranked acting MD, Mohamed Adan, who had the full support of the company’s special board of directors. This decision has led to allegations of political interference, with workers speculating that the appointment may have been influenced by factors other than merit.
The unrest comes at a time when the company has made significant strides in improving its operations. EAPC’s cement production has surged to 50,000 metric tons per month following the successful refurbishment of its plant. This increase in production has led to a substantial rise in the company’s share price, which has jumped from Ksh 7 to Ksh 53. The workers’ concerns are compounded by the fear that the new leadership could derail the company’s positive momentum, especially if their concerns about Obodha’s potential conflict of interest are not addressed.
In response to the protests, the company’s management has remained largely silent, with no official statements issued regarding the unrest or the appointment of Obodha. The employees, however, have made it clear that they will continue to disrupt operations until their grievances are addressed. The situation is developing, and it remains to be seen whether the government or the company will intervene to resolve the crisis.
For now, the future of East Africa Portland Cement Company hangs in the balance. Workers are calling for transparency and fairness in the decision-making process, and they are demanding that the appointment of the new MD be revisited to ensure that the company’s interests are not compromised. With production at a standstill, the stakes are high, and the outcome of this protest could have long-lasting implications for the company’s leadership and its operations moving forward.
