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Raila asks union to withdraw case against leasing of sugar factories

ODM leader Raila Odinga gestures during a press conference at the Governor’s Boardroom of the Kisumu County headquarters on August 14, 2020.

Photo credit: Ondari Ogega | Nation Media Group

What you need to know:

  • ODM leader Raila Odinga said on Friday that the decision by the Employment and Labour Relations Court frustrated the process and will have serious ramifications on plans to rescue the ailing sector.
  • In the ruling on August 13, the court temporarily stopped the leasing of Chemelil, Miwani (under receivership), Muhoroni (under receivership), Nzoia and South Nyanza sugar companies pending hearing and determination of the union’s case.
  • Justice Nduma Nderi suspended any business in relation to the leasing after the union claimed it had been side-lined in the process and cited the government’s failure to clear a payment of Sh5 billion.

ODM leader Raila Odinga wants the Kenya Union of Sugarcane Plantation and Allied Workers to withdraw the case that resulted in a ruling that suspended the leasing of five State-owned millers.

Mr Odinga said on Friday that the decision by the Employment and Labour Relations Court frustrated the process and will have serious ramifications on plans to rescue the ailing sector.