More than 3,000 unionisable workers at Kakuzi Plc, a leading agribusiness and superfoods producer in Kenya, will receive a 16% wage increase over the next two years, effective January 2024, after the company signed a new collective bargaining agreement (CBA) with the Kenya Plantation and Agricultural Workers Union (KPAWU) on Tuesday.
The new CBA, which covers the workers at Kakuzi’s Makuyu operations site, was the result of mutual negotiations between the company and the union, and was hailed as a sign of good industrial relations and shared prosperity by both parties.
Kakuzi PLC Managing Director Chris Flowers said the company would continue to prioritise its human capital welfare by providing quality working conditions, rewards and benefits to enable its staff teams to attain their full potential.
“Kakuzi PLC appreciates the support that Dr Atwoli and the KPAWU Leadership extended to complete the CBA negotiations successfully. As a responsible company, our employees’ welfare is paramount, and this signing affirms our commitment to continue providing a safe workplace while maintaining good relationships between the company, employees and the union,” Flowers said.
He added that Kakuzi was pursuing several initiatives to enhance its continued commitment to its environmental, social and governance (ESG) principles.
“While we acknowledge that the business has to be sustainable to provide decent jobs, we also must recognise our broader responsibilities to lift others as we grow,” he said.
KPAWU General Secretary Francis Atwoli, who is also the Central Organization of Trade Unions (COTU-K) Secretary General, commended Kakuzi for being considerate of the plight of unionisable workers in light of the prevailing economic challenges.
He urged other local enterprises to follow suit and clear CBA negotiations in time as the union continues to pursue a win-win strategy cognizant of the national and global economic situation.
“I want to thank Kakuzi management for a positive response to KPAWU proposals and being considerate of the unionisable workers in a shared prosperity model,” Atwoli said. He added, “We wish Kakuzi well in its agribusiness endeavours and hope for sustained positive industrial relations as economic times improve.”
Last month, Kakuzi released its fourth ESG report, ‘For People with Purpose’, highlighting its achievements and challenges in areas such as human rights, community engagement, environmental conservation and ethical business practices.
