More than 1,100 workers at Samasource’s Nairobi office are set to lose their jobs after the company’s key client, Meta, ended a major contract, dealing a blow to Kenya’s growing artificial intelligence outsourcing industry and exposing its reliance on foreign deals.
The firm, commonly known as Sama, announced the planned redundancies on Thursday, saying the decision followed formal notice from Meta to terminate the engagement. The company said it had tried to retain the contract after receiving the notice but those efforts did not succeed.
“Following the notification, Sama engaged with the client in the interests of the Nairobi delivery team and the broader organisation,” the company said in a media release dated April 16.
However, those efforts did not succeed, leading to the issuance of a formal notice of intended redundancy to staff.
“The efforts, however, have not been successful, and a formal notice of intended redundancy was issued on April 16, 2026, to staff at the Sama Nairobi office,” the statement added.
The job cuts are expected to take effect before the contract formally ends later this month, marking a major shift for one of the companies at the centre of Kenya’s role in the global AI value chain.
Sama said the process is being carried out in line with Section 40 of the Employment Act 2007, with all required notifications already issued.
“A notice of redundancy has been issued in compliance with Section 40 of the Employment Act 2007, with the necessary notifications to the relevant parties,” the company stated, noting that many of those affected are tied to the discontinued workstream.
The company acknowledged the scale of the layoffs, confirming that over a thousand employees will be affected.
“We recognise the impact this has on our team and are actively supporting affected employees with care and respect,” the statement said.
Sama’s Country Lead and Vice President for Global Delivery, Annepeace Alwala, said such changes are part of how the outsourcing industry operates, where client needs can shift.
“As is standard in our industry, client programs evolve, and we work closely with our partners to manage these transitions responsibly,” she said.
She added that the company is focusing on helping staff through the transition while keeping operations running.
“Our immediate priority is supporting our employees through this change and ensuring continuity across our broader operations,” she said.
Alwala also pointed to the wider effect of the layoffs beyond the workplace, saying the impact will be felt by families and the surrounding community.
“We recognise the significant impact on the team and the local community. We are actively working to support affected employees with care and respect as we always do,” she said.
She noted that workers at the company have been receiving full benefits, including living wages, medical cover and wellness support.
“Our teams receive living wages and full benefits, and have consistently had access to comprehensive wellness resources, full medical benefits, and on-site counselling support by qualified and licensed practitioners,” she said.
Sama describes itself as a global leader in data annotation, focusing on computer vision work that supports artificial intelligence and machine learning systems. Its Nairobi centre has been a key part of Kenya’s position as a hub for digital outsourcing.
The company says it employs more than 5,000 data experts worldwide and works with leading global firms.
“25% of Fortune 50 companies, including GM, Ford, Microsoft, and Google, trust Sama to help deliver industry-leading ML models,” the company said.
Despite the layoffs, the firm said it will continue focusing on its core business and long-term plans.
“We remain focused on this core work and on maintaining the high standards of data security, responsible AI, and workforce support that our clients expect,” the statement said.
The development highlights both the opportunities and risks within Kenya’s AI outsourcing sector, where jobs often depend on contracts with international technology companies that can change quickly.
For the affected workers in Nairobi, the announcement signals a period of uncertainty, even as the company says it is putting support measures in place during the transition.
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