This archive report was first published on 5 November 2019.
On November 5, 2019, Mumias Sugar Company sent shockwaves to its employees when it announced that all contracts would be terminated, effective September 20, 2019, following the company's placement in receivership under KCB.
The company's decision to sack all employees comes despite a funding promise made by Deputy President William Ruto to revive the struggling sugar miller.
According to a letter dated November 5, 2019, the company stated that any payment to the affected employees would be dealt with in accordance with the provision of the law.
However, the company has indicated that it will hire new staff on a temporary basis to keep operations running, with priority given to the now former employees.
‘Accordingly, the Receiver shall engage the services of any employee on a temporary basis on mutually agreeable terms until the time when the operations resume. Priority will however be given to the past employees while recruiting the staff on temporary basis until the time when the company’s operations are revived,’ the letter read.
