Sugar workers suspend strike after govt, unions agree on Ksh10.8B arrears
By Kenneth Mwenda, February 3, 2026The nationwide strike by sugar factory workers has been suspended following high-level talks between the Government and the Kenya Union of Sugar Plantation and Allied Workers (KUSPAW).
The discussions, chaired by Cabinet Secretary for Health and Industrial Affairs, Senator Mutahi Kagwe, brought an end to industrial action that began on January 29, 2026. The strike affected Muhoroni, Nzoia, Sony, and Chemelil sugar factories. Workers demanded payment of unpaid salary arrears and terminal benefits totalling KSh10.8 billion.
During the meeting, both sides agreed that workers would immediately return to duty while the Government finalises payment processes. CS Kagwe said the decision aimed to prevent further disruption to factory operations and the wider sugar sector.
“Workers will resume duty immediately as payment processes are finalised,” CS Kagwe confirmed via social media.
To address immediate financial hardship, the Government announced it will release Ksh1 billion within the next two weeks. The remaining arrears will be paid in phases through the Supplementary Budget and future budgets, subject to parliamentary approval.
“The payments will cover salary arrears, redundancy dues, pensions, and other terminal benefits,” CS Kagwe said. He cautioned workers against targeting third parties in industrial action, warning that such moves only delay sector recovery.
CS Kagwe explained that the outstanding arrears are obligations of the Government arising from the transition process and not the responsibility of the private millers currently leasing and operating the factories.
Union concerns remain pending
KUSPAW General Secretary Francis Wangara welcomed the renewed Government commitment. He said many workers, particularly those who have exited service, face severe hardship. He added that the union remains concerned over delayed union deductions, which will also be addressed in follow-up talks.
The industrial action had disrupted sugar production across the country, leading to concerns about supply and revenue losses. Muhoroni, Nzoia, Sony, and Chemelil factories were forced to halt operations temporarily, affecting thousands of workers and their families.
The strike began after workers said the Government had failed to meet earlier commitments to settle arrears from the transition of sugar factories to private management. CS Kagwe apologised for delays, attributing them to fiscal constraints.