Leaders from Western Kenya have condemned the government’s plan to dismiss over 5,000 employees from state-owned sugar factories under lease, warning that the move risks plunging thousands of families into deeper poverty.
The leaders, drawn from both government and opposition ranks, described the decision as a betrayal of earlier assurances that jobs would be safeguarded when the leasing framework was introduced to revive the ailing sugar sector.
Kisumu Governor Anyang’ Nyong’o, Trans Nzoia Governor George Natembeya, and Awendo MP Walter Owino warned that the mass redundancies would devastate livelihoods in a region already struggling with high unemployment.
Nyong’o sharply criticised the redundancy approval by Agriculture Principal Secretary Kipronoh Ronoh, terming it “unilateral, ill-advised, and a recipe for chaos.” He argued that leasing was meant to inject fresh capital and modernise factories while protecting jobs.
“The leasing of these mills was meant to secure a sustainable future, not dismantle the existing workforce,” he said.
Owino, whose constituency hosts Sony Sugar, recalled that workers and farmers were assured continuity of employment and timely payments. “When leasing was introduced, the promise was timely payment for farmers and continuity of employment. We were never told jobs would be lost,” he said. “If workers must go, then they should first be fully compensated.”
Natembeya warned that the layoffs would have far-reaching social and economic consequences, insisting that restructuring should not be done at the expense of workers. “Our people deserve a transparent and inclusive process that modernises the sector while protecting jobs,” he said.
On August 15, PS Ronoh directed managing directors of Sony, Chemelil, Muhoroni, and Nzoia sugar companies to issue formal termination notices, effective October 31, 2025. The decision, in line with Section 40 of the Employment Act, requires that employees be paid severance packages and benefits as per their CBAs.
However, the sector still grapples with unpaid salary and allowance arrears estimated at Sh5.23 billion, which the national government had pledged to settle within six months of the leases.
Analysts caution that unless the redundancy process is handled transparently and outstanding arrears cleared, the sugar belt could face unrest and deeper instability.
