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A tractor transporting sugar cane from a farm. /FILE.

NATIONAL NEWS

Tension at Muhoroni Sugar Company as staff protest ‘illegal redundancy’ letters

The protest follows the leasing of the state-owned sugar mill to West Valley Sugar Company in May 2025.

KISUMU, Kenya, Sep 6 – Tension is brewing at Muhoroni Sugar Company as angry workers down their tools, protesting what they call illegal redundancy letters that ignore key entitlements, from unpaid salary arrears to missing gratuity and unremitted deductions.

The protest follows the leasing of the state-owned sugar mill to West Valley Sugar Company in May 2025, under a 30-year agreement aimed at reviving Kenya’s struggling sugar sector.

Jacob Tolo, an employee at the company, expressed frustration over the contents of the redundancy letters, saying they were incomplete and unfair.

“The letter only includes severance pay but omits our gratuity. It also doesn’t mention the NSSF contributions that were deducted from our salaries but never remitted,” said Tolo.

He added that the workers will remain on strike until the Ministry of Agriculture and the transition committee provide clarity on the missing components of their redundancy packages.

“There are also insurance deductions and unpaid salary arrears that haven’t been addressed. We are demanding justice,” Tolo said while addressing journalists at the factory in Muhoroni, Kisumu County.

Josephat Nyachae, the local workers’ union chairman, echoed the concerns, stating that employees have been left in the dark with no official communication from the authorities.

“We’ve continued working for the new company over the last three months, producing sugar, yet no one is concerned about our welfare. The situation is frustrating,” said Nyachae.

When contacted, Muhoroni Sugar Company CEO Gabriel Nyangweso clarified that the current lessee has no control over the employees’ grievances.

“According to their letters, the government will continue to pay salaries up to October 2025. Only after that will the lessee take over salary payments. These issues fall outside our jurisdiction,” he explained.

Nyangweso added that although some workers are still on strike, many have returned to work after understanding the company’s position.

“Milling and maintenance operations are ongoing. Only a small group of workers remain outside protesting,” he said.

Muhoroni is one of four state-owned sugar mills recently leased to private investors as part of a broader government initiative to rejuvenate the sector.

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