More than 2,000 workers in Kenya’s tea sector are staring at job losses after Sri Lankan firm Browns Plc announced plans to roll out a voluntary early retirement program. The announcement comes just months after the company acquired tea plantations in Bomet, Kericho, and Kiambu counties from Ekaterra Plc and James Finlay Kenya.
Bomet Governor Dr. Hillary Barchok Mutai criticized the move, describing it as unjustified and premature. He called on the company to halt the retrenchment plan and instead focus on creating more jobs by reducing reliance on mechanization.
“We have engaged the management of the Browns Plantations company with a view to having them review the move, retain the workers, and employ more in the near future in place of the machines that were introduced a few years ago,” said Dr. Mutai.
According to Browns Plc CEO Rajiv Bandaranayake, the package is being offered under a Collective Bargaining Agreement (CBA) and includes severance pay equivalent to 23 days for each completed year of service. The company also promised additional support, including:
- One-way bus fare for affected workers.
- Prorated pay for unused leave days.
- Training in financial management and entrepreneurship.
- Psychosocial support for affected families.
- Extended medical cover upon request.
- Temporary accommodation in company housing to minimize disruption of the school calendar.
Despite these measures, the Kenya Plantation and Agricultural Workers Union (KPAWU) and local leaders condemned the decision, claiming the retrenchment was hurried and unlawful. The union argued that the CBA does not provide for voluntary early retirement and accused the company of failing to involve workers’ representatives in the process.
The looming layoffs highlight the growing tension between labor unions, local leaders, and multinational firms operating in Kenya’s tea sector. With thousands of families depending on the plantations for survival, calls for Browns Plc to reconsider the plan continue to mount.
