The Kenya Union of Post Primary Education Teachers – KUPPET, owned Walimu Solidarity SACCO has recorded remarkable growth. The union-affiliated sacco, Walimu Solidarity Savings and Credit Co-operative Society Ltd, is registering tremendous growth. According to the sacco chairman, Edward Obwocha, the entity made a profit of Sh13 million in the financial year ending December 31, 2021 – its first year of its operation.
The dividends earned are re-invested to increase the organisation’s capital. However, whenever any member decides to divest, such as those who have retired from the union, they are free to exit.
The Sacco was formed for the empowerment of teachers, in line with recommendations by the International Labour Organisation for trade unions to have such institutions. Many African teachers unions have taken up the challenge, with union- backed saccos strongest in Switzerland and Ghana. In Ghana, the sacco backed by the teachers’ is so strong that members earn their salaries through their own sacco. The sacco has hotels in all the eight regions of Ghana, some with a capacity of up to 300 beds.
Primary capital for the Sacco came from the conversion of the National Governing Council Welfare Fund to the new entity, with the union providing additional funds. The capital base now lies at Sh70 million. By August 2022, it had issues Sh64 million in loans, which it currently issues weekly.
Borrowing heavily from Ghana, where the sacco uses union offices and relies on the union staff to cut operating costs. Its other officials include Mr Moses Nthurima (Secretary), Paul Maingi (Treasurer) and Mr Sammy Chelang’a.
The board has been undergoing training to increase their capacity. As part of the new capacity, the sacco is currently rewriting the By-Laws. The ones in operation were those which were used for registration.
Among its goals in the medium term is to raise sufficient capital that will allow it to loan members as they are sought. In the long term, the sacco will apply for SASRA registration, incorporate front offices to offer enhanced services and build its own head office.
Once stable, the Sacco will be a source of funds for the union in times of a crisis, especially during long strikes when the government can’t step up, then the union will remain afloat. It will supplement the member’s ability to withstand strikes via the creation of investment vehicles to mobilise their savings and resources to sustain the union in the wake of emergencies.
According to the sacco chairman, Edward Obwocha, the entity made a profit of Sh13 million in the financial year ending December 31, 2021 – its first year of its operation.
