Kenya Power rolls out performance targets for union workers

Kenya Power has implemented performance management contracts for over 6,000 union employees, integrating them into a formal system of quantifiable goals to boost productivity and service quality. This change is the outcome of more than two decades of negotiations between the utility company and the Kenya Electrical Traders and Allied Workers Union (KETAWU).

By aligning union staff with the performance management approach already in use for other employees, Kenya Power aims to enhance accountability and clarify the connection between individual responsibilities and the company's objectives.

The move also positions Kenya Power as one of the first state-owned enterprises to adopt performance contracts for union workers, adhering to the Government-Owned Enterprises Act 2025. The legislation mandates commercial state corporations to set annual business plans and integrate performance contracts driven by measurable results.

Kenya Power's Managing Director and CEO, Joseph Siror, emphasized that the new framework mandates employees to concentrate on results and efficient resource utilization. He highlighted that productivity is not merely about doing more, but achieving better outcomes through efficient use of time, skills, resources, and technology, ultimately improving efficiency, reliability, and customer focus.

The implementation of the performance management system was overseen by the Salaries and Remuneration Commission (SRC), which has been advocating for the adoption of performance management systems across all public sector employees. SRC Chairperson Sammy Chepkwony noted that incorporating union employees into this framework will strengthen the alignment between organizational goals and individual responsibilities.

"Having management and staff focused on one deliverable creates a direct link between organizational objectives and the activities of every employee," Chepkwony stated, praising Kenya Power's decision and urging other public institutions to create performance management frameworks that promote productivity across all staff levels.

Kenya Power's expansion in customer base—from 370,000 in 1996 to the current 10.4 million—has underscored the importance of consistent service delivery, making it a critical element of their performance targets. The new framework allows for the monitoring of all employees' productivity through a unified system, enabling the company to evaluate progress against set targets.

Ruth Muiuri, speaking for the Board of Directors Chairman, affirmed that the framework will bolster the company's broader goals, incorporating more than 6,000 unionizable employees into a system that measures individual responsibilities against Kenya Power's overarching operational and service delivery objectives.