Ex-Uchumi workers petition Parliament over unpaid dues

Ex-Uchumi workers petition Parliament over unpaid dues

NAIROBI, Kenya, June 24 – Former employees of Uchumi Supermarkets have petitioned Parliament over delayed payment of salary arrears, gratuity, and other terminal benefits, years after the retailer was placed under a recovery programme.

In a petition submitted to National Assembly Speaker Moses Wetang’ula, the ex-workers said repeated efforts to secure payment through the company’s management and administrators have failed to yield results.

The petitioners argue that commitments made under the Company Voluntary Arrangement (CVA) to settle employee claims have not been fulfilled despite several engagements, reminders, and demonstrations.

“Despite numerous engagements with the appointed administrators, the courts, and processes established under the Company Voluntary Arrangement (CVA), their claims for unpaid salary arrears, gratuity, and other terminal benefits remain unresolved,” the petition states.

The former workers also allege that rental income from tenants occupying Uchumi properties, including payments reportedly made by China Square, has not been used to settle employee claims.

They further accuse the retailer’s administrators of failing to provide adequate transparency on decisions affecting staff welfare, arguing that some directives issued during the company’s last annual general meeting have not been implemented.

According to the petition, many former employees continue to face financial hardship, with some struggling to meet basic household needs, pay medical bills, or support their children’s education.

The petitioners also told Parliament that some former workers have died before receiving their benefits.

Once one of Kenya’s largest retail chains, Uchumi Supermarkets was declared insolvent after accumulating liabilities estimated at Sh7.05 billion and was subsequently placed under a court-supervised CVA aimed at restructuring the business and repaying creditors.

The petition now awaits consideration by the relevant parliamentary committee, which is expected to review the claims and make recommendations to the House.