Uchumi Supermarkets Workers Embark On Strike Over Delay Of Salary

Uchumi Supermarkets workers have today, 4th July, downed their tools in protest over the delayed payment of their salaries.

The workers are complaining that the supermarket chain owes salaries dating back to May.

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Uchumi management has not disputed the workers’ claim but, however, says it came up with an alternative payment structure to help the staff. It says workers were allowed to take an interest-free advance from the company which would be deducted once it completed its payments.

The workers rejected this arrangement with some claiming it does not work well given the current high cost of living as well as suspension of key benefits such as healthcare.

One worker from Eldoret as quoted by Citizen Digital said:

“Management promised to pay May salary by the end of last month but that didn’t happen. Now they have promised June salaries by the 10^th (of July) but we are not sure that is going to happen.”

Uchumi Supermarkets workers which are approximately 1,300 have taken to the streets with reports indicating huge protests in Karatina and its headquarters in Industrial Area.

Uchumi has been struggling to get back to its feet over the last three years and has blamed the salary delays on poor cash flows. Its huge mountain of debt, as well as its inability to secure capital from a strategic investor, have all played a role.

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In December, the National Treasury released Sh500 million to Uchumi to restock and boost cash flow but the amount has not been enough to turn around its fortunes. Workers had, meanwhile, called for a change in the management of Uchumi.

“Kipng’etich should go and a new CEO appointed who will listen to the workers,” another employee said.

Uchumi workers under the Kenya Union of Commercial, Food and Allied Workers have written to the Ministry of Labour to seek mediation to resolve the salary standoff.