Union Raises Concerns Over Nairobi Water MD’s Retirement and Pension Issues
The Kenya Union of Water and Sewerage Employees (KUWASE) has voiced strong opposition to the proposal for an extension of the contract of Nairobi Water and Sewerage Company Limited Managing Director, Eng. Nahason Muguna, whose mandatory retirement age of 60 has passed.
In a media address, the Union’s Nairobi County Branch, led by Branch Secretary Wycliffe Onditi, expressed concerns that the MD, instead of taking his terminal leave and retiring as required, is reportedly lobbying the company’s Board of Directors and Members of the County Assembly for a three-year contract extension.
“We categorically oppose this uncalled-for contract extension. There are many qualified individuals, both within and outside the company, who can take over and steer Nairobi City Water and Sewerage Company to greater success,” said Onditi. He emphasized that employees and stakeholders are increasingly frustrated by Muguna’s actions, which they believe undermine the company’s future potential and violate the statutory retirement guidelines.
One of the key issues raised by the union is the handling of workers’ pension funds, amounting to approximately Ksh 2.3 billion, which the union claims remains shrouded in secrecy. “Many retirees are dying without seeing their benefits, and the majority of them are living in poverty. This cannot go unchallenged,” Onditi added.
KUWASE also raised concerns about Muguna’s leadership during his tenure, citing employee hardships and the lack of transparency regarding pension funds. While the union refrained from delving into specific grievances, they underscored that the issue of retirement age is enshrined in the Kenyan Constitution and relevant statutes, which all public officers, including Muguna, are well aware of.
In a statement, the union called for immediate intervention from relevant agencies, including the Ministry of Water and the Ethics and Anti-Corruption Commission (EACC), to investigate the matter and ensure Muguna’s adherence to the retirement laws. They warned that any attempts to use bribery or undue influence to extend his contract would be met with strong resistance from the workers, which could include industrial action, litigation, and protests at the company’s headquarters.
The union’s calls for action are also backed by a directive from Felix Kosgey, who advised on similar concerns regarding the MD’s conduct and the potential repercussions of extending his tenure beyond the legal retirement age.
As tensions rise, the KUWASE union has made it clear that they will not tolerate any attempts to sidestep the law, stressing that it is time for new leadership at the Nairobi Water and Sewerage Company. The union’s next move will depend on the response from the relevant authorities, with many watching closely for developments in this ongoing dispute.