NAIROBI, Kenya – The nationwide strike by sugar factory workers has been suspended after the government reached a breakthrough agreement with unions, unlocking the release of funds to settle long-standing salary arrears and terminal benefits.
The industrial action, which began on January 29, had paralysed operations at Muhoroni, Nzoia, Sony and Chemelil sugar factories, as workers protested unpaid dues amounting to Sh10.8 billion owed to both current and former employees.
The truce was sealed on Monday following high-level crisis talks at Kilimo House, chaired by Agriculture and Livestock Development Cabinet Secretary Mutahi Kagwe.
The meeting brought together senior officials from the Ministry of Agriculture, the Kenya Sugar Board, the Sugar Transition Committee and the Kenya Union of Sugar Plantation and Allied Workers (KUSPAW).
Under the agreement, workers agreed to resume duty immediately after the government committed to release Sh1 billion within the next two weeks to ease financial hardship.
The remaining arrears will be settled through the Supplementary Budget and subsequent national budgets, subject to parliamentary approval.
CS Kagwe acknowledged that the debt burden rests squarely with the government, distancing private millers from the dispute.
“These arrears are owed by the government, not private millers leasing the factories. We will push Parliament to resolve this conclusively through the Supplementary Budget so the sugar sector can stabilise once and for all,” Kagwe said.
He cautioned that targeting private operators through industrial action only disrupts factory operations and delays relief for workers, noting that leased mills are not party to the legacy debt.
Kagwe also appealed to lawmakers—particularly those from sugar-growing regions—to support the fast-tracking of funds to avert further disruption in the sector.
KUSPAW General Secretary Francis Wangara welcomed the renewed commitment but said the union would closely monitor the implementation of agreed timelines.
“We have suspended the strike in good faith as we monitor the release of funds and adherence to the agreed milestones. Workers have suffered long enough, and this matter must now be resolved conclusively,” Wangara said.
Beyond salary arrears, the union raised concerns over delayed remittance of union deductions, poor employment terms in some factories, alleged intimidation of union officials and non-compliance with transition agreements. These issues were flagged for urgent follow-up.
The Ministry of Agriculture, the Kenya Sugar Board, the National Treasury and KUSPAW said they will maintain close coordination to track disbursements, ensure compliance by millers and resolve outstanding labour disputes, as security agencies work to restore normal operations in affected regions.



