COTU threatens industrial action against government over hiked pump prices

Further, the union rejected the proposed increase in the Value Added Tax (VAT) by the National Treasury which will see VAT on products increase from 16 to 18 per cent.

According to the officials, Kenyans cannot handle an increase in VAT as some workers are currently on the verge of closing shop due to the high taxes already in place.

"If the intention to increase VAT from 16 to 18 per cent is adopted, most businesses will be forced to close or convert employment from permanent to contract. The government wants to get money, but it cannot be a crime against Kenyan employees...let them widen the tax regime," the deputy SG added.

Their remarks come on the back of a fuel price review by the Energy and Petroleum Regulatory Authority (EPRA) on Thursday.

Super petrol is now retailing at Sh211.64 in Nairobi, diesel selling at Sh201, and Kerosene at Sh202.13.

This is the first time in history that fuel prices have crossed the Sh200 mark.

As a result, several industries have since announced that the prices of their services and products will go up from Monday.

According to Okwaro, this will have a ripple effect on everything Kenyans do, resulting in a huge effect on Kenyan workers.

COTU wants the government to take immediate action before the country falls into an economic crisis.