Sugar Workers Threaten Strike Over Ksh2.7 Billion in Salary Arrears

Sugar workers have threatened to down their tools from Thursday, October 1, 2026, over unpaid salary arrears amounting to Ksh 2.7 billion.

The Kenya Union of Sugar Plantation and Allied Workers (KUSPAW) said the planned strike could disrupt sugar production if the government fails to release the money owed to affected sugar workers.

Meanwhile, KUSPAW Secretary General Francis Wangara has called on sugar millers to join the workers in pressing the government to settle the arrears.

“I urge my members that it is time they join hands with us as a national office so that we may jointly push for this money. Even if it means stopping work from tomorrow, so be it,” he said.

Sugar Workers Demand Release of Arrears

Wangara further urged millers to support the sugar workers, arguing that an unmotivated workforce could affect production at the factories.

“Why we are asking the millers to join us is because a demotivated labor force is very dangerous. It may not have good production as you expect as a miller. And therefore, it will be important that they join us so that we both push government to make sure that the payment is done,” Wangara said.

The latest dispute follows the restructuring of State-owned sugar companies, which saw private operators take over four factories: Muhoroni, Nzoia, Sony and Chemelil.

According to KUSPAW, the Ksh 2.7 billion covers unpaid salary arrears and terminal benefits owed to employees whom the new operators did not absorb after the restructuring.

The union said the government expected to begin payments in July 2026, but it had not released the funds by the time of the latest strike threat.

Furthermore, KUSPAW said it had agreed with the sugar sector transition committee to settle the outstanding payments by August or, at the latest, September.

Wangara added that the union had written to the Ministry of Agriculture twice to seek an update on the payments.

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The current demand also follows government commitments made during the leasing of four State-owned sugar factories in 2025.

At the time, the government pledged to address outstanding obligations to sugar-sector stakeholders as part of the transition.

KUSPAW Warns of Production Losses 

At the same time, Wangara warned that the planned stoppage could cause losses for millers if sugar workers halt production.

“If there is any time they lose as a result of this stoppage of work, then the government must know how to compensate them because the burden is the government,” he said.

Consequently, KUSPAW has urged millers to support the demand for payment and prepare for possible losses if the strike disrupts factory operations.

Earlier, sugar workers staged nationwide industrial action on January 29, 2026, demanding payment of pending salaries and accrued benefits totaling Ksh 10.8 billion.

The strike affected Nzoia, Chemelil, Muhoroni and Sony sugar factories.

Also Read: Two Suspects Caught After Smuggling 1.5 Tonnes of Sugar Into Kenya 

Two days later, the government and KUSPAW agreed to suspend the strike after the government committed to release Ksh 1 billion within two weeks.

The parties also agreed to settle the remaining arrears through the Supplementary Budget and subsequent budgets, subject to parliamentary approval.

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A photo of Kenya Union of Sugarcane Plantation and Allied Workers (KUSPAW), Secretary General Francis Wangara. PHOTO/ Fredrick Odiero