Uchumi strike over unpaid salary

Uchumi strike over unpaid salary

Business across Uchumi branches came to a halt on Wednesday morning after workers downed their tools to protest nonpayment of salaries.

According to employees of the ailing retailer, the management had failed to pay salaries for the past two months despite the government injecting money last year.

The government in December released Sh700 million shillings to Uchumi as part of a bailout package to get it back on its feet.

Workers carried marched from the Uchumi Jogoo Road branch to the company headquarter in Industrial Area to seek audience with management over the delayed salaries.

“We are here today calling on top management to come in and sort our grievances because we have not been dealt with according to the due process. There has been mismanagement of cash at Uchumi,” one worker said.

The workers said there had been no communication on the delayed salaries.

They at the same time put management to task to account for the Sh700 million released in December and how it was used.

Uchumi had indicated the money would be used to restock its key branches ahead of the festive shopping period to boost sales.

Julius Kipng’etich who had served as Uchumi chief executive for two years quit earlier this year to take up a post at Jubilee Insurance.

Uchumi posted a 63.5 percent increase in its half year loss that stood at Sh895 million as at December on lower revenue.

Story by David Njoroge