Bio Food Products Staff Decry Exploitation, Unfair Layoffs, and Pay Gaps Under Dutch CEO Joachim Westeveld

Last Updated on October 25, 2025 by courtnews reporter

A storm is brewing at Bio Food Products Ltd, a Dutch-owned manufacturer operating in Kenya under brands including Macuisine, Highlands (Club Soda), Mawingu, and Maxine Agri, as employees decry mass layoffs, pay disparities, and alleged favoritism by top management.

The company recently issued redundancy notices to a section of its workforce, describing the move as part of a “strategic restructuring exercise” meant to realign operations. Management stated that the process adhered to Section 40 of the Employment Act, 2007, and promised to compensate affected employees according to the law.

However, staff—both current and former—say the process has been abrupt, unfair, and shrouded in secrecy. Several employees told Court News Kenya that they were summoned without prior notice to receive redundancy letters and attend counselling sessions, leaving them struggling to plan for rent, school fees, and loans.

“This process is a formality. The names are decided in advance, and the rest is just for show,” one insider lamented.
“Favoritism and tribalism determine who stays or goes.”

Frustration Over Repeated Layoffs and Delayed Dues

Employees allege that Bio Food Products Ltd, under CEO Joachim Westeveld, has carried out at least three rounds of layoffs in five years, only to rehire shortly after for the same roles—often replacing higher-earning Kenyan staff with lower-paid recruits.

Several employees also claim the redundancy process is being used to silence outspoken workers and restructure departments under the guise of cost-cutting.

Insiders revealed that agreements involving the company, a banking partner (I&M Bank) and an insurance entity, collapsed during the redundancy process. This failure reportedly left employees financially stranded, unable to access their terminal dues or savings.

One affected employee said,

“We were encouraged to take long-term loans from I&M Bank as part of employee welfare. Now that we’ve been laid off, I&M is withholding our dues. It’s a trap.”

Pension and Severance Confusion

The company’s transition from a service pay scheme to Zamara GA pension plans has added to the frustration.
Ex-employees report that accessing pension funds is now nearly impossible, especially for those below a certain age threshold.

Those who qualify for early release are facing long delays and excessive paperwork, with the disbursement process projected to take several weeks or even months.

The Ministry of Labour has been urged to investigate whether Bio Food Products’ redundancy exercise meets Kenya’s legal and ethical thresholds, amid claims of selective retrenchment and unequal pay between Dutch expatriates and Kenyan staff.

Claims of Favoritism and Toxic Leadership

Multiple insiders describe the company’s leadership as toxic and disorganized, accusing the human resource department of corruption, favoritism, and lack of transparency.

“The leadership is toxic. Dutch expatriates are paid massive salaries, while equally qualified Kenyans earn a fraction,” said one source.
“They claim there are cash-flow problems but overspend on foreign consultants.”

Employees allege that some Heads of Department retain only staff who are loyal to them, perpetuating a climate of fear and inequality. They also point to a culture where long-term employees are replaced to cut wage costs, leaving local talent demoralized.

Economic Pressures and a Call for Oversight

The layoffs come at a time when Kenya’s food manufacturing sector is grappling with rising production costs, inflation, and sluggish consumer demand.
Analysts warn that the case reflects a growing trend among multinational firms, where cost optimization often comes at the expense of local workforce stability.

Employee representatives have now called for intervention from the Ministry of Labour, the Federation of Kenyan Employers (FKE), and trade unions to investigate the redundancy process, citing violations of both labour law and basic corporate ethics.

“This is a cycle of exploitation. Employees are used, discarded, and replaced,” the source concluded.
“Without public scrutiny, it will continue unchecked.”

Corporate Accountability on Trial

As the spotlight turns on Bio Food Products Ltd, the case underscores the fragile balance between foreign investment and employee welfare in Kenya.

The allegations of unfair layoffs, favoritism, and wage discrimination against locals could dent the company’s reputation as a trusted household brand in the food manufacturing industry.

Whether through labour court intervention or regulatory oversight, affected employees are demanding transparency, fair compensation, and a long-overdue conversation on corporate accountability in multinational operations.