Mutua: Ongoing restructuring in state firms is part of comprehensive reform program
Mutua raised by Senators said that the discharge of workers under the restructuring is guided by lawful redundancy procedures as outlined in Section 40 of the Employment Act...
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Labour Cabinet Secretary Alfred Mutua recently addressed the Senate, affirming that the ongoing restructuring of state-owned enterprises is part of a comprehensive reform program aimed at improving efficiency and financial sustainability. He emphasized that worker discharges are guided by lawful redundancy procedures, despite concerns raised by Kisumu Senator Tom Ojienda regarding compliance with constitutional rights.
- 1,743 workers have been affected by the restructuring in Kisumu County, specifically in Muhoroni Sugar Company, Chemelil Sugar Company, and Miwani Sugar Company.
- Kenya Union of Sugar Plantation Workers engaged with the government, leading to a Memorandum of Understanding dated May 7, 2025, to ensure a fair and transparent redundancy process.
- Partial payments of salary arrears totaling Ksh 1.8 billion have been made between May and August 2025, with an additional balance of Ksh 3.8 billion in arrears and Ksh 15 billion in terminal dues and third-party deductions to be paid by June 2026.
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Cabinet Secretaries Address Senate on State Agency Operations and Funding - October 2025
Health Cabinet Secretary Aden Duale informed the Senate that the Social Health Authority (SHA) system's digital audit led to the rejection of Sh10.6 billion in fraudulent or non-compliant claims, proving the effectiveness of the new digital architecture. In a separate address to the Senate, Labour Cabinet Secretary Alfred Mutua affirmed that the ongoing restructuring of state-owned enterprises is part of a comprehensive reform program. He emphasized that worker discharges are guided by lawful redundancy procedures. Meanwhile, Youth Affairs, Creative Economy, and Sports Cabinet Secretary Salim Mvurya was grilled by Senators over inadequate funding for Deaf Sports from the 2022/2023 financial year. Mvurya attributed some challenges to disputed elections within the Kenya Sports Federation of the Deaf (KSFD) and stated the ministry had addressed outstanding debts.
