/Worries now pile over the survival of the societies as multinationals lay off staff
Kericho County

Worries now pile over the survival of the societies as multinationals lay off staff




 Kericho County
Ndege Chai during Ushirika day calebrations in Kericho County

By Apudo Were

Saccos affiliated to giant multinationals must now device other means of survival in the face of dwindling membership.

According to Kericho County Director of Cooperatives Leonard Otii, worries now pile over the survival of the societies after the parent companies started early retirements of employees due to what has been seen as the nega­tive effects of massive mechani­zation of tea harvesting.

Mechanization of tea har­vesting has been on-going in Kericho and Bomet counties; this is despite resistance from the Kenya Plantation and Ag­ricultural Workers Union and Central Organization of Trade Union (COTU).

Besides job cuts already businesses in the regions’ sever­al trading centres are witnessing reduced business activities.

Otii said several multination­al affiliated Saccos were under­going serious challenges, which might see drastic shift in busi­ness operations or risk closure.

Also present was Simba Chai Sacco, Engineer Joseph Mitei the societies need to change tact to survive the challenges.

He said: “The changes in the parent company have led to many people being pushed out of their jobs. This has had impact in our financial position in terms of loans and deposits.”

Last year, the Sacco wit­nessed a drop in membership from 14,841 as at the end of the year 2016 to 14,390 in 2018.

The Sacco thus expanded its common bond to attract a wide section of members of the pub­lic.

Catherine Kivai, finance director at James Finlays Tea Company, challenged the societ­ies not to depend on tea workers but be innovative in developing other ways of attracting new members from the outside the estates.

She was addressing Ndege Chai Housing Cooperative del­egates during their annual meet­ing.