The Kenya Sugar Board (KSB) has stepped in to ease mounting labour unrest in the sugar sector, promising prompt payment of arrears to cane workers after the Kenya Union of Sugarcane Plantation and Allied Workers (KUSPAW) threatened a nationwide strike.
KSB Chief Executive Officer Jude Chesire said the government is working to ensure that workers receive part of their dues before the Christmas and New Year holidays, even as negotiations continue over accumulated arrears. He appealed for patience, noting that the settlement process is complex but underway.
“We are doing our best to make sure something lands on their table,” Chesire said.
The reassurance follows a hardline stance by KUSPAW, which has warned that employees at Muhoroni, Chemelil, Nzoia and Sony sugar companies will down their tools unless the government clears arrears estimated at Ksh1.98 billion or issues a clear, time‑bound payment plan.
ALSO READ:
Union Secretary General Francis Wangara accused the government of reneging on earlier assurances that the dues would be settled by November. He said the arrears affect both workers declared redundant after the leasing of mills to private operators and those absorbed by new investors but still owed benefits.
“Repeated engagements with the Ministry of Agriculture, the National Treasury and transition committees have failed to yield concrete action, prompting the strike notice,” Wangara said.
KUSPAW insists that responsibility for settling legacy labour liabilities rests with the State, even though operations at the mills are now under private management.
Chesire, however, maintained that the government is fully committed to the ongoing reform programme in the sugar industry, which aims to stabilise operations, improve efficiency and ensure equitable benefits for all stakeholders. He said reforms are designed to address long‑standing structural weaknesses, including delayed payments to workers and farmers.
“We are working on a wide range of reforms that will ensure all industry stakeholders benefit, including farmers,” Chesire said.
The leasing of state‑owned mills to private operators was intended to revive production while allowing the State to clear historical debts such as salary arrears and terminal benefits. But delays in settling these obligations have fuelled labour unrest and raised concerns about the pace and coordination of reforms.
Chesire warned that prolonged worker discontent poses a significant risk to the reform agenda, noting that labour stability is critical to sustaining sugar production and maintaining investor confidence. Any disruption at the mills, he said, could ripple through cane supply chains, farmer incomes and downstream processing.
While acknowledging workers’ frustrations, Chesire urged patience, saying reforms require time to deliver tangible results.
ALSO READ:
Farmers shift to family and digital lenders as bank, SACCO credit drops despite CBK easing
“It is just a matter of time before the reforms begin to bear fruit,” he said.
Although the government’s assurances may ease immediate tensions during the festive season, KUSPAW has cautioned that patience among workers is wearing thin. The union says outstanding salary arrears and retirement benefits across the sector run into several billions of shillings, underscoring the urgency of a lasting settlement.
By Fredrick Odiero
Get more stories from our website: Sacco Review.
For comments and clarifications, write to: Saccoreview@
Kindly follow us via our social media pages on Facebook: Sacco Review Newspaper for timely updates
Stay ahead of the pack! Grab the latest Sacco Review newspaper!
