Kenya Power Adds Performance Contracts for 6,000 Staff

In Short

Kenya Power has launched performance management contracts for more than 6,000 unionisable employees.

The utility says the move will tighten accountability, lift productivity, and improve customer service.

It follows more than two decades of negotiations with the Kenya Electrical Traders and Allied Workers Union.

What Happened

Kenya Power is extending performance contracting to union staff, a group that has not traditionally been covered by formal performance contracts in many state-owned organisations.

A performance management contract is a written agreement that sets targets and measurable results for a job, similar to how a team might use clear goals and scorecards to track delivery. Kenya Power said the framework will allow it to monitor productivity for all staff under one system.

The initiative was guided by Kenya’s Salaries and Remuneration Commission, the body that advises on public sector pay and related structures. SRC chairperson Sammy Chepkwony said bringing union staff into performance contracts creates a direct link between organisational goals and day-to-day employee work.

Kenya Power CEO Dr. (Eng.) Joseph Siror framed the move as a push for better outcomes, not just more activity. A board representative, Ruth Muiruri, said the board will continue supporting both management and the union leadership to ensure smooth implementation.

Why It Matters

For customers, the clearest promise is improved service delivery, which can include faster fault resolution, better response times, and clearer accountability when service levels drop.

For Kenya’s wider public sector, the move signals how the Government-Owned Enterprises Act, 2025 is starting to shape operations. The law requires commercial state corporations to submit annual business plans and adopt performance contracts anchored on measurable results.

Kenya Power’s customer base has expanded from about 370,000 in 1996 to 10.4 million today. Managing a larger grid and customer support load often requires tighter operational controls, and performance frameworks are one way to standardise expectations across thousands of staff.

If implementation holds, other government-owned enterprises may face pressure to adopt similar productivity and performance tracking models for unionisable workers.