Nairobi — A nationwide strike by sugar factory workers has been suspended following high-level crisis talks between the Government and the Kenya Union of Sugar Plantation and Allied Workers (KUSPAW).
The agreement was reached after a meeting held at Kilimo House, chaired by Agriculture Cabinet Secretary Mutahi Kagwe.
The talks brought together senior officials from the Ministry of Agriculture, the Kenya Sugar Board (KSB), the Sugar Transition Committee, and union leaders led by KUSPAW General Secretary Francis Wangara.
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The industrial action, which began on Thursday last week, had disrupted operations at Muhoroni, Nzoia, Sony and Chemelil Sugar Factories.
Workers were protesting unpaid salary arrears and terminal benefits amounting to Sh10.8 billion, owed to both serving and former employees.
Following extensive deliberations, the parties agreed that the strike be suspended with immediate effect, allowing workers to return to duty as payment processes are finalized.
It was also agreed that the government will release Sh1 billion within two weeks to address urgent worker hardships with the remaining arrears being settled through the Supplementary Budget and subsequent national budgets, subject to parliamentary approval.
According to the deal, payments will be made in phases, covering salary arrears, redundancy dues, pensions and other terminal benefits.
Addressing the meeting, CS Kagwe acknowledged the hardship faced by workers and apologized for delays in honoring earlier commitments, citing fiscal constraints.
The meeting reaffirmed that the outstanding arrears are obligations of the Government of Kenya arising from the sugar sector transition process, and not liabilities of the private millers currently leasing and operating the factories.
"There is no justification for striking against third parties who were not privy to the agreements that created these arrears," CS Kagwe said, warning that such actions only prolong worker suffering, disrupt operations and undermine sector recovery.
"As Government, we accept responsibility for these debts. The arrears are owed by the Government, not private millers. We will push Parliament hard to resolve this matter conclusively through the Supplementary Budget so that the sugar sector is stabilized once and for all."
He also appealed to Members of Parliament, particularly from sugar-growing regions, to support and fast-track the necessary budgetary allocations.
KUSPAW General Secretary Francis Wangara welcomed the renewed Government commitment, noting that many exited workers are facing severe hardship, including lack of housing, medical cover and basic livelihoods.
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"We have agreed to suspend the strike in good faith as we monitor the release of funds and implementation of agreed milestones. Workers have suffered long enough, and this matter must now be resolved conclusively," Wangara said.
The union also raised concerns over delayed remittance of union deductions, poor and exploitative employment terms in some factories, non-compliance with agreed transition arrangements, and alleged intimidation of union officials. These issues were noted for
Kenya Sugar Board Chief Executive Officer (CEO) Jude Chesire affirmed continued engagement with both millers and unions, urging all parties to maintain stability to allow factories to operate and generate revenue needed to sustain the sector.
CS Kagwe condemned destruction of property, intimidation and other unlawful acts, while reaffirming that peaceful demonstrations are protected by law. Security agencies have been directed to restore and maintain normalcy in all affected areas.
The Ministry of Agriculture, the Kenya Sugar Board, the National Treasury and KUSPAW will maintain close coordination to track disbursements, ensure compliance by millers, and resolve outstanding labour issues, including reinstatement of suspended employees where applicable.
