•KCC has been embroiled in a long tussle over the payment of terminal benefits amounting to Sh109,640,482 and outstanding SACCO dues of Sh92,803,457.
•Nominated Senator Miraj Abdillah voiced her frustration at the non-attendance of the government officials, noting that the petitioners had made significant efforts to be present.
Image: HANDOUT
Senators plan to mount a fresh probe on the properties of New Kenya Cooperative Creameries (KCC) to see if part of it can be sold used to settle former employees outstanding dues.
The Senate Committee on Labour and Social Welfare has sent out a fresh invite to the management of New Kenya Cooperative Creameries (KCC) after their failure to attend Thursday’s session.
The move is aimed at ending the decades-long dispute over compensation for the former employees of the creamery.
Senator George Mbugua, the committee's Vice-chair, said that the re-invitation comes with strict requirements for New KCC to present an asset register, detailing the assets acquired from the former KCC, the current assets held by New KCC and the current status of those assets.
“Considering the timelines for concluding on petitions brought to the Senate, we need to be forward thinking should we need to direct New KCC to sell off some assets to pay off the owings,” said Mbugua.
KCC has been embroiled in a long tussle over the payment of terminal benefits amounting to Sh109, 640,482 and outstanding SACCO dues of Sh92, 803,457.
An Industrial Court ruling had earlier ordered for either reinstatement of the workers or payment of their terminal dues, KCC opted to prepare a compensation schedule.
According to the Senate Standing Orders any petition brought before a Standing Committee must have a report tabled in the Senate within 60 calendar days from its submission.
The Committee also resolved to re-invite the Solicitor General and the Cabinet Secretaries for the Ministries of Cooperatives, Labour and the National Treasury, who also failed to attend Thursday’s proceedings.
Their absence drew sharp criticism from committee members.
Nominated Senator Miraj Abdillah voiced her frustration at the non-attendance of the government officials, noting that the petitioners had made significant efforts to be present.
“The petitioners travelled from far and wide to attend this meeting, only to be met with the absence of those from whom we seek answers. They should be surcharged to reimburse the petitioners who are searching for justice,” said Abdillah.
Senator Julius Murgor, the committee's chair, told the petitioners lawyer Namada Simoni to provide a comprehensive list of the former KCC employees to clarify the number of beneficiaries involved in this case.
Murgor said the committee is committed to ensuring that justice is served and that the ex-employees receive their due SACCO deductions and terminal benefits.
“This committee stands for justice, and we will stand by the former employees to ensure they receive what they are rightfully owed,” said Murgor.
This Petition presented to the Senate on 9th July 2024 comes after years of legal wrangling over compensation for former KCC employees, who were dismissed in 1997 following the government's failure to settle payments with the creamery under the School Milk Programme.
Despite a series of court rulings, including a High Court judgment that held New KCC liable for compensation, a subsequent appeal in 2020 overturned the decision, leaving the matter unresolved.