Kenya Power Adopts Performance Contracts for Over 6,000 Union Employees

Kenya Power has launched performance management contracts for more than 6,000 union employees in a move aimed at strengthening accountability, improving productivity and enhancing service delivery to customers.

In a press release dated Wednesday, August 19, 2026, Kenya Power said the move followed more than two decades of negotiations between management and employees represented by the Kenya Electrical Traders and Allied Workers Union (KETAWU).

The company said the move places it among the first government-owned enterprises to adopt performance contracts for union staff.

It also aligns with the Government-Owned Enterprises Act, 2025, which requires commercial state corporations to submit annual business plans and adopt performance contracts based on measurable results.

“Productivity is not simply about doing more. It is about delivering better results through effective use of our time, our skills, our resources and our technology. We are becoming more efficient, more reliable and more focused on our customers. But improvement is not the destination, excellence is and it will not come from systems alone. It will come from each one of us: the work we do, the targets we commit to, the standards we uphold and the results we deliver,” said Kenya Power’s Managing Director and CEO, Joseph Siror.

Kenya Power Introduces Performance Framework

Meanwhile, the Salaries and Remuneration Commission (SRC) guided the process and challenged other public institutions to adopt similar performance management frameworks.

SRC Chairperson Sammy Chepkwony said on boarding union staff into performance contracts would create a direct link between organisational objectives and employees’ activities.

“There is nothing more powerful than having management and staff focused on one deliverable. It creates a direct link between organizational objectives and the activities of every employee. I want to commend Kenya Power for this bold step and encourage other public institutions to design performance management frameworks that promote productivity across all cadres of staff,” said Chepkwony.

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Kenya Power’s customer base has grown significantly from 370,000 customers in 1996 to 10.4 million currently. The company said the expansion has increased expectations for excellence in service delivery and customer satisfaction.

Through performance contracting, Kenya Power will monitor the productivity of all its staff under one framework. The company expects the approach to support its corporate goals through measurable improvements in service delivery.

Focus on Service Delivery

The new framework will also strengthen accountability while helping Kenya Power improve efficiency and reliability across its operations.

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Speaking on behalf of the Chairman of the Board of Directors, Kenya Power Director Ruth Muiruri said the framework would support the company’s corporate goals through measurable gains in service delivery.

“The performance management framework we have launched today holds strategic significance beyond compliance. It will enable attainment of corporate goals through measurable gains in service delivery. The Board of Directors will continue to provide guidance to the management and the leadership KETAWU to ensure smooth implementation of the productivity management framework,” said Ruth Muiruri.

The launch marks a major change in how Kenya Power manages performance among union employees after more than two decades of negotiations with KETAWU.

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A photo showing Kenya Power building . Photo/ File