Sugar woes: Governor Nyong'o opposes redundancies

Kisumu County Governor Prof. Anyang'Nyong'o. [File, Standard]

Nzoia Sugar Company has announced plans to declare its workforce redundant following the government's decision to lease all state-owned sugar mills to private investors, a move that has sparked outrage among leaders from the sugar belt.

In a notice issued to employees dated August 18, 2025, Managing Director CPA Ezron Kotut stated that all existing job positions at the company will be rendered redundant effective November 1, 2025. The decision is part of a broader restructuring process triggered by the state's privatisation policy in the sugar sector.

Kotut assured staff that the company would follow due process as provided under Kenyan laboUr laws, the existing Collective Bargaining Agreement (CBA), and guidelines from the Ministry of Agriculture and Livestock Development adding that employees would be compensated in line with their entitlements, including redundancy dues and other benefits.

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"The intention, at the point of separation, is to have all current regular staff paid their dues and entitlements in accordance with the applicable laws," Kotut emphasized in the memo.

The management also expressed gratitude to employees for their service and loyalty over the years, pledging that the redundancy process would be handled with fairness and dignity.

However, the announcement has drawn sharp criticism from Kisumu Governor Prof. Anyang' Nyong'o, who described the move as unilateral and ill-advised.

Through a press statement, Nyong'o accused the Ministry of Agriculture of betraying the spirit of the sugar sector revival programme.

"The leasing of these sugar mills was intended to revive the sector, enhance efficiency, and improve the welfare of all involved. The goal was to create a sustainable future, not to dismantle the existing workforce. This approval for mass layoffs fundamentally contradicts that promise and threatens to destabilise the very sector we are trying to save," the governor said.

Nyong'o also decried the timing of the decision, noting that many sugar workers are still owed outstanding salaries and benefits.

"To approve their termination before this solemn debt has been settled is not only unjust but morally reprehensible. It adds a grave insult to an already painful injury," he added.

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The governor further faulted the national government for failing to consult county administrations despite the sugar industry being a devolved function.

"This is a blatant disregard for the principles of cooperative governance enshrined in our Constitution. The livelihoods of thousands of our citizens are not a matter to be decided unilaterally from an office in Nairobi," he argued.

Instead Nyong'o has proposed three urgent measures by the government. He wants immediate withdrawal of the redundancy approval, release of funds to settle arrears owed to workers, and a joint meeting between the Ministry of Agriculture, Council of Governors, and workers' representatives to chart a consultative and humane way forward.