This archive report was first published on 2 November 2021.
On October 27, KTDA Chief Executive Officer Wilson Muthaura announced the appointment of Cliff Anderson Limited to undertake a 30-day staff audit. The audit aims to help the agency shape its next direction after government-supported reforms indicated it as among the agency's subsidiaries that needed an overhaul.
As part of the audit, the consultant will assist KTDA MS in reviewing its management structure, including the number of employees. This comes at a time when the commission the company used to charge tea factories has been reduced from 2.5 per cent to 1.5 per cent under the tea sector reforms.
KTDA MS offers management services to over 70 smallholder factories, seconding a factory unit manager and production assistants, a factory accountant and field service coordinators to the units. However, a price stabilisation committee appointed by Agriculture Cabinet Secretary Peter Munya earlier in the year indicated the subsidiary as among those failing the over 600,000 tea farmers.
The committee accused the management services wing of enjoying skewed management agreements that do not hold them accountable and allowing the introduction of new products such as orthodox, purple and Chencha tea without a clear market plan. Agency's Head of Corporate Communications Ndiga Kithae said rationalisation is normal in business, which needs to establish whether one has the right and required workforce.
KTDA Chairman David Ichoho had earlier stated that the directors elected by farmers will undertake restructuring of the sector to match with the growers' expectations. The restructuring efforts aim to give the best to the farmers, following the government's promise to pay them better prices for their high-valued crop.
