Two major workers’ unions are at odds over who is responsible for billions of shillings in unremitted pension dues, leaving hundreds of Nairobi City Water and Sewerage Company retirees in limbo.
The dispute intensified this week after the Nairobi County Workers Union (NCWU) issued a strong defense of the Nairobi Water Company, dismissing claims that the utility firm acts as the primary stumbling block in clearing the debt. This follows a Tuesday statement by the Water Services Workers Union (WSWU) and retirees, who accused the company of failing to remit statutory deductions, condemning former staff to “poverty and death.”
The Defense In a statement signed by Branch Chairman Moses Murungaru and Secretary Wycliffe Onditi, the NCWU argued that the unpaid contributions—particularly to Laptrust—are a historical issue linked to the County Government, not solely the water utility.
The union cited the findings of a tripartite committee which reviewed files from the Finance Department and County Attorney. The committee reportedly concluded that Nairobi Water should not bear full responsibility for arrears attributable to the county administration.
The matter has since escalated to the Senate, leading to the formation of a high-level committee chaired by Treasury Cabinet Secretary John Mbadi. This team, comprising representatives from pension schemes, the County, and the National Treasury, is currently exploring ways to offset county debts against monies owed to the national government.
“Part of the expected proceeds from ongoing negotiations could be channeled toward clearing the pension arrears,” the NCWU statement read, though they noted progress remains slow.
The Accusation Conversely, the Water Services Workers Union and retiree representatives paint a grim picture of negligence. On Tuesday, they claimed Nairobi Water owes over Sh4 billion: Sh2.6 billion to Laptrust, Sh900 million to Lapfund, and Sh500 million to the County Pension Fund.
Matilda Kimeto, National General Secretary of the Water Services Workers Union, stated that the funds were deducted from employees’ salaries but never remitted. “This is literally employees’ salaries… People retired with peanuts. Now they are dying,” Kimeto said.
Peter Njihia, a representative for the pensioners, added, “We gave our lives to public service, but we are now dying poor.”
The NCWU has demanded full transparency regarding the debt and urged an immediate resolution to ensure retirees receive their dues.
