The board of directors of Nairobi City Water and Sewerage Company (NCWSC) will not renew the contract of Managing Director Philip Gichuki despite workers boycotting work over the directive.
The board has appointed Nahashon Muguna, the Nairobi Water technical director to take over in an acting capacity.
The workers in July protested the privatisation of the water company and the non-renewal of contract for three directors alleging the recent events were politically instigated.
Others whose contracts have not been renewed include Commercial Director Stephen Mbugua, Finance Director Johnson Randu and the Human Resource and Administration Services Director Rosemary Kijana.
In a letter to Mr Gichuki dated August 17, 2017, the board directed him to immediately proceed on terminal leave.
"I am in receipt of your letter dated June 12th June 2017 requesting for extension of your contract of employment for a period of two years. I wish to inform you that the board, after deliberations, declined to grant your request as you have already served the full tenure permitted in law," read a letter by board Chairman Raphael Nzomo.
Mr Nzomo said that the MD was to formally leave the company upon expiry of his contract on January 1, 2018.
I am very grateful for the many years of service rendered to the Company and the residents of Nairobi City County government as a whole. It is with your support that the services of the company have grown significantly," added Mr Nzomo.
Speaking to Nation, Nairobi County workers union branch secretary Matilda Kimetto said that they have resumed picketing since the termination of contracts of the MD and two directors were done maliciously.
Ms Kimetto said that the board was taking advantage of the transition period to advance their personal interests.
"This board is has gone ahead to take advantage of the transition period to bring to its knees this company as they are bitter with Dr Kidero's [loss in the elections]," said Ms Kimetto.
The incoming Deputy Governor Polycarp Igathe cancelled a meeting scheduled for Friday with the picketing workers citing a planned disruption by goons.