Unionisable employees at listed agribusiness firm Kakuzi Plc (NSE: KUKZ) are set to enjoy a 15% general wage increase following the signing of a Collective Bargaining Agreement (CBA) with the Kenya Plantation and Agricultural Workers Union (KPAWU), effective January 2026.
The wage increment, covering the 2026/27 Collective Bargaining Agreement (CBA) period, will see more than 3,500 Kakuzi unionisable employees receive an 8% increase for the 2026 financial year and 7% for the 2027 financial year.
Speaking when he confirmed the general wage increase, Kakuzi Plc Managing Director Chris Flowers said the company will continue to prioritise the welfare of its human resource base, even in a challenging operating environment.
The company, he said, will continue to explore areas of mutual co-operation with the Kenya Plantation and Agricultural Workers Union, such as employee training and capacity development beyond the CBA, to maximise value.
The signing of the updated CBA follows a series of recent negotiations between Kakuzi officials, led by Kakuzi Human Resources Manager Annastacia Mwenzwa and Chief Shop Steward Patrick Muchuma, and KPAWU officials, led by General Secretary Dr Francis Atwoli and Deputy General Secretary Thomas Kipkemboi.
“At Kakuzi, we appreciate the support and magnanimity extended by the Kenya Plantation and Agricultural Workers Union officials, led by General Secretary Dr Francis Atwoli, who drove a very hard bargain for our unionisable workers,” Flowers said.
“We are glad that we have, however, managed to agree on a 15% general wage increase mutually, and the 8% increment for this year will be implemented soon, with arrears paid alongside September 2026 wages, pending registration at the Employment and Labour Relations Court.”
The signing of the updated CBA comes hot on the heels of the recent announcement that the firm has stepped up its agricultural technology (Ag-Tech) adoption strategy as part of an elaborate business development plan.
As part of Kakuzi’s Ag-Tech adoption strategy, the firm recently established a fully-fledged Digital Agricultural Transformation Department to spearhead technology adoption and application across its operating fronts.
Headed by a Digital Agricultural Transformation Manager, the department will enable Kakuzi to accelerate Ag-Tech initiatives necessary for its transition to climate-smart agriculture.
Conscious of the growing international market risks facing the firm and Kenyan export agriculture, Kakuzi is also accelerating strategic product and market diversification efforts to mitigate operating risks.
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