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Kenya Power introduces performance management contracts for employees

Kenya Power has launched performance management contracts targeting more than 6,000 union employees, a move that will strengthen accountability, improve productivity and enhance service delivery to customers.

The historic move comes after more than two decades of negotiations between the management and union employees under their umbrella, the Kenya Electrical Traders and Allied Workers Union (KETAWU).

It also places the company among the first government-owned enterprises that have adopted performance contracts for union staff, in line with the aspirations of the Government-Owned Enterprises Act, 2025, which requires commercial state corporations to submit annual business plans and to adopt performance contracts anchored on measurable results.

“Productivity is not simply about doing more. It is about delivering better results through effective use of our time, our skills, our resources and our technology. We are becoming more efficient, more reliable and more focused on our customers. But improvement is not the destination; excellence is, and it will not come from systems alone.

It will come from each one of us: the work we do, the targets we commit to, the standards we uphold and the results we deliver,” said Kenya Power’s Managing Director & CEO, Dr (Eng.) Joseph Siror, during the process which was guided by the Salaries and Remuneration Commission (SRC).

Consequently, SRC Chairperson Sammy Chepkwony challenged other public institutions to emulate Kenya Power, reiterating that the step to onboard union staff into performance contracts opens a new way to manage performance and promote a culture of productivity within public service.

“There is nothing more powerful than having management and staff focused on one deliverable. It creates a direct link between organisational objectives and the activities of every employee. I want to commend Kenya Power for this bold step and encourage other public institutions to design performance management frameworks that promote productivity across all cadres of staff,” Chepkwony reaffirmed.

Notably, Kenya Power’s customer base has grown significantly over the years, from a low of 370,000 customers in 1996 to the current 10.4 million. The expansion in customer base comes with the expectation of excellence in service delivery for increased customer satisfaction.

Therefore, through performance contracting, the company will monitor the productivity of all its staff under one framework.

Meanwhile, Ruth Muiruri, Kenya Power’s Director, who spoke on behalf of the Chairman of the Board of Directors, said, “The performance management framework we have launched today holds strategic significance beyond compliance. It will enable attainment of corporate goals through measurable gains in service delivery.”

She assured that the Board of Directors will continue to provide guidance to the management and the leadership of KETAWU to ensure smooth implementation of the productivity management framework.

By Michael Omondi

 

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