KISUMU, Kenya — Sugar sector workers have threatened to down their tools from Thursday, October 1, over Sh2.7 billion in unpaid salary arrears and terminal benefits owed to employees who were not absorbed following the restructuring of State-owned sugar companies.
The Kenya Sugarcane Plantation Workers Union has given the government until Wednesday to release the funds, warning that failure to settle the outstanding payments will trigger industrial action that could disrupt sugar production.
Union Secretary General Francis Wangara said the government had failed to honour its commitment to pay the affected workers despite the funds having been allocated in the national budget.
Wangara said the union had written to the Ministry of Agriculture twice seeking clarity on when the payments would be released but had not received a firm commitment.
“We demand that this payment must be made immediately, failure to which it will cause confrontation, which will be very unfortunate for all of them,” Wangara said.
Workers Await Payments
According to Wangara, the payments were expected to begin in July following the start of the 2026/27 financial year.
He said the union had earlier reached an agreement with the sugar sector transition committee that the outstanding payments would be settled by August or, at the latest, September.
The continued delay, he said, had left affected workers facing financial difficulties, including challenges meeting household expenses such as school fees and food.
The affected employees are workers who were not retained following the restructuring and transition of the former State-owned sugar companies.
Wangara said the workers had been relying on the promised payments to stabilise their finances after losing their employment.
Sugar Production At Risk
The threatened strike comes as the sugar industry enters a period of peak production, raising concerns over possible disruptions at milling companies.
The union has appealed to sugar millers to support efforts to have the workers’ dues released and prepare for possible operational disruptions if the strike goes ahead.
Wangara also cautioned employers against taking action that could unfairly penalise workers if mills are forced to suspend operations during the industrial action.
He said even a one- or two-day stoppage could result in significant losses for millers and affect production during the peak season.
“The reason why we are asking that we should join forces so that payment is done early, so that it does not affect the sugar production,” Wangara said.
The union is now urging the government and millers to resolve the dispute before Thursday to prevent an industrial action that could affect sugar production.
Ruto Copied In Protest Letter
Wangara said the union had escalated the matter by copying its correspondence to senior government officials, including President William Ruto, the Cabinet Secretary for the National Treasury and Economic Planning and other relevant authorities.
He said the union was not seeking political intervention but wanted the government to honour its commitments to workers affected by the restructuring.
“We believe that the government has the authority and the mandate to pay this money,” he said.
The union has instructed its members to join its national leadership in demanding the release of the funds.
Wangara said some workers had already expressed readiness to participate in the strike, although others remained cautious.
Union Sets Wednesday Deadline
The union says workers could begin withdrawing their labour from Thursday if the government fails to communicate its position or release the funds.
The dispute centres on salary arrears and terminal benefits that the union says remain outstanding for workers who were not retained following the restructuring of the State-owned sugar companies.
The union maintains that the Sh2.7 billion obligation should be settled in full and says it will continue pressing for payment until all affected workers receive their dues.
