National Assembly Speaker Moses Wetang’ula has revealed plans to have Nzoia Sugar factory staff paid their two-year salary arrears soon.
Wetang'ula said the Kenya Kwanza administration will table a supplementary budget next week that will include Sh300 million to settle the outstanding pay to the employees.
The Speaker said the government is committed to clear the arrears soon once the supplementary budget is approved by MPs when it is tabled in Parliament.
“I conveyed that Sh300 Million has been allocated in the Supplementary Budget, which will be presented before the House next week, to settle their two years' salary arrears,’’ Wetang’ula said.
He spoke on Saturday during the burial of Evelyne Nambuye Simiyu, an employee of Nzoia Sugar Company.
The factory is located in Malaha area, Webuye West Constituency, Bungoma County.
Simiyu was the sister of Steve Simiyu Sonko, a Member of the Bungoma County Assembly.
Last month, President William Ruto blamed the management of Nzoia Sugar factory for the company’s financial woes that have seen salaries accrued for 24 months.
The President regretted that while most privatised companies were paying their farmers and workers, Nzoia had failed to do so.
"I shall sit down with your leaders until we get the correct formula because most privatised companies can pay their farmers and workers meaning the main problem is with the poor management and not sugar cane farming," Ruto said on February 1.
Ruto, however, assured the company staff and sugarcane farmers of the government's commitment to settle all debts and ensure timely payment even as he rushed claims that the company would be privatized.
"Nzoia Sugar Company is not on sale. The firm will not be privatised but will be under new professional management that will ensure efficiency in the firm's operations," Ruto said.
While speaking at Kanduyi in Bungoma county on August 28, 2023, Ruto said it was unacceptable that the miller has an accrued debt of Sh53 billion despite various bailout plans while private millers were doing well.
"This time round we must get it right. We can't play another poker game here of bringing Kenyans' money and it gets lost," he said then.
In 2022, former president Uhuru Kenyatta directed Nzoia Sugar Company to pay farmers and workers a sum of KSh 500 million owed in arrears.
Ruto's administration announced plans to write off loans owed and tax arrears by public sugar mills in October 2023.
In January 2024, the Ministry of Agriculture and Livestock Development said it had completed the audit of all areas owed by the firms ready to pay farmers and workers.