The government has cleared Sh229 million salary arrears to former workers of Webuye Pan Paper Mills, now known as Rai Paper.
National Assembly Speaker Moses Wetang’ula said the payment brings closure to a protracted struggle that has lingered since the collapse of the once-thriving factory.
He credited President William Ruto for intervening to unlock the settlement after years of stalled efforts.
“I raised the issue with the President during his development tour of Bungoma, and he approved the settlement of the arrears,” said Wetang’ula.
The National Treasury released Sh229 million in November 2025 to pay salary arrears and terminal dues to former workers of the factory, 16 years after layoffs.
The funds, covering 1,349 families, were part of a government initiative to settle long-standing dues
The payment brings closure to workers of the collapsed factory and supports the ongoing revival efforts of the plant.
Speaking at the weekend when he hosted Bukusu elders drawn from Western and Trans Nzoia counties in his home in Bungoma, Wetang’ula noted that former employees had endured prolonged financial distress following the loss of their livelihoods, with many families pushed to the brink.
Pan Paper Mills collapsed in 2009 due to massive debt, severe mismanagement, and inability to pay for electricity.
The Speaker also criticised what he termed as political opportunism surrounding the workers’ plight.
“This payment not only restores dignity to the affected workers but also puts to rest the exploitation of their suffering for political gain,” he said.
Wetang’ula also pointed to renewed economic activity in the region, revealing that Nzoia Sugar Company has resumed operations after government intervention to settle debts owed to farmers and other stakeholders.
“Farmers will soon begin to reap dividends from the revived factory. This marks a turning point after years of stagnation,” he said, urging those who had abandoned the mill to return as operations stabilise.
At the same forum, the Speaker emphasised the influential role of elders in community and political affairs, describing them as a vital link between citizens and the State.
However, he cautioned that internal divisions had weakened their effectiveness and called for unity to enhance their impact.
He pledged institutional support, including the establishment of an office to improve coordination among elders and urged them to promote discipline among the youth.
Wetang’ula also rallied the elders to support Ruto’s re-election bid, citing ongoing development projects and key appointments under the current administration.
Senate Chief Whip David Wakoli, Webuye East MP Martin Pepela, former Bumula MP Mwambu Mabonga and several Members of County Assembly led by Bungoma County Assembly Majority Leader Juma Nyongesa accompanied the Speaker.
