80% Of Sugar Workers To Be Retained As Mills Revive

Kenya Sugar Board Chair Nicholas Gumbo has assured more than 5,000 sugarcane workers that the ongoing leasing of public sugar mills to private investors will not result in mass job losses, but instead create new opportunities.

Gumbo said that 80% of the current workforce will be absorbed by private millers, while the remaining 20%—mostly staff due for retirement but still serving due to lack of exit packages—will be gradually phased out in line with retirement benefits settlements.

Describing the shift as a “silver lining” for the struggling sector, Gumbo noted that the modernization and full maintenance of factories such as Sony, Chemelil, Muhoroni, and Nzoia will raise efficiency and unlock more jobs.

“Once these mills run at full capacity, sugar production is expected to double to 1.6 million tonnes annually, positioning Kenya as a potential net exporter of sugar,” he said.

Already, cane farmers are enjoying improved terms, with payments now being made weekly instead of monthly or seasonally—a move Gumbo says will boost farmer morale and production.

The remarks come against a backdrop of worker unrest, with unions warning against sidelining employees and threatening industrial action if redundancy notices take effect on October 31, 2025. Many workers are also demanding the settlement of Sh5 billion in salary and allowance arrears before any transition.

The government, however, insists the leasing plan is crucial for restoring competitiveness in the sugar industry, assuring that all redundancy and terminal benefits will be honored in line with the law.

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