Cane workers threaten to stop leasing of state factories over Sh3.5bn arrears
Cane industry workers threaten to halt the leasing of state-owned factories over Sh5.3 billion in salary arrears. The Kenya Union of Sugarcane Plantation and Allied Workers demands payment before continuing the leasing process. President Ruto’s failure to address the issue during Madaraka Day celebrations in Bungoma has exacerbated frustrations. Workers demand equal treatment and threaten court action to stop privatisation until all arrears are settled.
Cane industry workers have threatened to halt the leasing of state-owned factories over salary arrears amounting to Sh5.3 billion.
The workers said any effort by the government to continue the process would be met by a court order suspending the exercise until they are paid.
Through the Kenya Union of Sugarcane Plantation and Allied Workers, the group expressed their frustration, saying even President William Ruto failed to address their pending payment during Madaraka day celebrations in Bungoma.
Union Secretary General Francis Wangara said they were to receive their dues before the factories were leased out, as promised by the government.
But the President only mentioned that the leasing process was ongoing, and did not address their arrears.
“It is unfortunate that as we speak today, we have kept on leaving on promises and there is nothing tangible we can say has happened. The workers’ arrears totaling to Sh5.3 billion as approved by AFA has not been settled up to now,” Wangara said.
The workers said out of the total amount owed, Sh600 million was to be factored into the supplementary budget.
This would then be distributed across Nzoia, Chemelil, Sony and Muhoroni factories, with each receiving Sh150 million.
“This is what we expected the head of state to pronounce when he was in Bungoma, but he mentioned totally different things and nothing on workers’ arrears, ” Wangara added.
The day after the celebrations, when in Kimilili, Ruto mentioned he was going to pay Sh100 million to Nzoia workers.
This did not go down well with the group, who said paying workers from one out of the four factories owed amounted to unequal treatment.
“Our appeal was that everybody has to be paid what is due to them. If he has decided to address it because he was in Bungoma, are we going to wait when he comes to Nyanza so as to address this issues? No, it should not be the case. Anything that is happening should be done equally,” the Secretary General said.
They also took issue with the privatisation process, saying they would not allow the leasing to go on until all workers are paid their dues.
“We are anchoring this on the court case which we stopped the privatisation process. So we are not going to allow that to happen until our people are paid in totality.”
The union boss said they had no intentions to fight the course, but should their demands be ignored, they would activate the court case and obtain orders prohibiting the leasing.
“We are not going to entertain anything less, because it’s not right to believe that nothing can happen when government is in the position to do everything they are asking for.”
“This is the time they should factor in the amount to be paid by workers. So that they can be free to proceed with investors who intend to come to take over the institutions who had clearly said they are not going to have any debt whatsoever from anybody,” he said.
Wangara said farmers had also been paid in part, with only about 20 per cent of their due still pending, while workers had not received any pay.
To settle the matter once and for all, the group suggested that the Sh600 million is factored into the supplementary budget and paid out to workers. The remaining amount should be considered in the main budget.
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