The Salaries and Bonuses Committee bowed to popular pressure and decided to freeze salary increases for all state employees.
According to SRC Board Chairwoman Lynn Mengich, the move came after consultations.
She said the salary review was based on the salary structure stipulated in Article 11 (e) of the Education Regulatory Authority Act.
She said any adjustments would have to take into account the economy, contractual agreements and budget availability.
“We are not saying it cannot be done, but we can only do it after looking at the law,” Ms. Mengich said.
Earlier, President William Ruto directed the National Treasury to review a gazette notification that increases the salaries of Cabinet Secretaries, Members of Parliament, Governors, County Assembly members and other senior state officials with effect from July 1, 2023.
Dr Ruto has requested a stay of publication of Gazette Notice No. 10346 dated August 9, 2023, issued by the Salaries and Remuneration Commission (SRC), following the withdrawal of the 2024 Finance Bill and anticipated financial constraints in the current financial year.
The Salaries and Remuneration Review Committee reviewed and determined the salaries and remuneration of civil servants in the executive branch of the national government under the third Salaries and Remuneration Review Cycle covering the financial years 2021/2022–2024/2025.
The monthly wage structure for civil servants in the executive branch of the national government was scheduled to be implemented in the 2024/25 financial year, effective July 1, 2024.
“President William Ruto has directed the National Treasury to review the gazette notice dated 9 August 2023, from the Salaries and Remuneration Commission (SRC) on remuneration and benefits for state employees in the executive arm of the national government, the Senate and the National Assembly, in view of the withdrawal of the 2024 Finance Bill and anticipated financial constraints in the current financial year,” House of Representatives spokesman Hussein Mohammed said in a post on X (formerly Twitter).
The President stressed that this is the time, more than ever, for the executive branch and all branches of government to live within their means.
New Salary Structure
Earlier, Public Service Minister Musa Kuria wrote to the Student Council requesting that the implementation of the new salary structure be cancelled.
“However, I refer to the decisions of the Third National Wage Bill Conference held from 15 to 17 April 2024 to reduce the wage bill to 35 per cent of revenue as stipulated in the Public Finance Management Act 2012 and the prevailing austerity measures announced by His Excellency the President resulting from the withdrawal of the Finance Bill 2024,” Mr. Correa wrote.
“As the Secretary in charge of Public Service, Performance and Delivery Management, I reject the implementation of the Gazette Notice on salary increase as it applies to the executive arm of the national government and urge the Committee to gazette the Notice on the implementation of the new salary structure, in full, to all levels of government.”
Calculations showed the treasury would need at least Sh10.92 billion a year to handle the new salaries and allowances – adding to the pressure on the treasury, which has already been hit hard by economic turmoil. The treasury currently spends at least Sh9.85 billion a year on salaries and allowances for senior officers.
The salaries of Prime Minister Musalia Mudavadi, 22 cabinet ministers, Attorney General Justin Muturi, Public Service Chief Felix Koskei and Cabinet Secretary Mercy Wanjau will rise to Sh990,000 each, up from Sh957,000, according to a gazette notice issued by the Salary Review Commission.
The salaries of members of the House of Representatives and the Senate, whose salary is Sh725,502, will be increased to Sh739,600 per month.
The governor’s salary has been adjusted from Sh957,000 to Sh990,000, while the senator’s salary will increase from Sh154,000 to Sh164,000 per month.
Travel and engagements
Under these new ranges, it will require at least Sh744.83 million to pay monthly salaries alone, excluding allowances that vary based on circumstances such as travel and commitments.
Compared to the current compensation terms, this means the Treasury will need an additional minimum of Sh30 million per month or Sh360 million per year to cover salaries.
However, SRC Board Chair Lynn Mengich said implementing the proposed salary increases would depend on “availability of funds and financial sustainability.”
The new salary increases come at a time when President William Ruto is facing public protests demanding cuts in illicit spending and a lower tax burden on ordinary citizens.
Dr Ruto, whose administration has been under pressure over lavish spending since the start of anti-tax protests, has issued directives to implement austerity measures that would involve spending cuts at all levels of government.
In his address to the nation in the wake of deadly Generation Z-led protests, he directed budget cuts to non-essential expenses in his office, including travel, hospitality and car purchases, to cut waste and plug a Sh346 billion gap left by the now-abandoned 2024 Finance Bill.
Under the new salary structure, the salary of the Speaker of the National Assembly and the Senate, who currently earns Sh1,185,327, will increase to Sh1,208,362, while the salary of the Deputy Speakers of the House of Representatives and the Senate will reach Sh966,690, up from Sh948,261.
The leader of the majority and minority parties in both chambers will get Sh800,019 while a member of the National Assembly/Senate will get Sh739,600 per month. Currently, majority/minority members of the National Assembly and Senate get Sh784,768 while members of parliament in both chambers get Sh725,502.
Apart from their huge salaries, members of the House of Representatives and the Senate receive committee sitting allowances, with committee chairs receiving Sh15,000 per sitting up to a maximum of Sh240,000 per month.
The Vice President earns Sh12,000 per session with a maximum of Sh192,000 per month while members earn Sh7,500 per session with a maximum of Sh120,000 per month.
The salaries of 51 principal secretaries, the Inspector General of Police and the Director of the National Intelligence Service will now rise from Sh792,519 they received last month to Sh819,844 at the end of this month.
Amended
The new salary for the Kenya Police Service Deputy Inspector General, Deputy Inspector General of Administration and Director of Criminal Investigations will be Sh684,233, up from the current Sh652,742.
At the decentralized level of government, the salary of the county governor has been adjusted from Sh957,000 to Sh990,000, while the salary of the deputy county governor will increase from Sh652,742 to Sh684,233.
The salaries of the members of the Executive Committee (CEC) will be increased from Sh413,079 to Sh422,526 while the salary of the County Assembly Chairman has been adjusted from Sh537,003 to Sh549,283.
The Deputy Speaker will get Sh247,943, up from Sh231,722, while the majority/minority party leader who gets Sh191,324 will get Sh204,717.
Members of the County Assembly (MCA) who received Sh154,481 will now get Sh164,588 monthly.
The remuneration and benefits for civil servants in full-time constitutional commissions and independent offices under the third remuneration and benefits review cycle covering the financial years 2021/2022-2024/2025 will see the salary of the Auditor General and the Chairperson of the Independent Electoral Commission and the Commission increase from Sh957,000 to Sh990,000.
The Budget Controller and Deputy Chairman of the Independent Electoral and Boundaries Commission who both receive similar monthly salaries will see their perks rise from Sh792,519 to Sh819,844.
Chairpersons of the Kenya National Commission on Human Rights (KNCHR), National Land Commission (NLC), Revenue Allocation Commission (CRA), Public Service Commission (PSC), Salaries and Remuneration Commission (SRC), Teachers Service Commission (TSC), National Police Service Commission (NPSC), Administrative Justice Commission (CAJ) and National Gender Equality Commission (NGEC) who received Sh792,515 will get Sh819,844.
The salary of non-MPs serving on the Parliamentary Service Commission (PSC) is set to rise to Sh698,600 from Sh674,000.
The Director of Public Prosecutions and a member of the Independent Border and Terrorism Commission will also receive a salary of Sh819,844, up from Sh792,519.
The Vice President and members of IEBC KNCHR NLC, CRA, PSC, SRC, TSC, NPSC, CAJ and NGEC will get Sh698,600 instead of Sh674,000.
Commission Secretaries/Chief Executives serving in EACC, CRA, PSC, TSC, IEBC and NPSC who are paid Shs674,000 per month will receive Shs698,600.
The Secretary/Chief Executive Officer in all other committees appointed as State Officers in terms of Section 260 of the Constitution will receive a new salary of Shs684,233.
The salary of the Data Protection Commissioner, who currently earns Sh642,125, will be adjusted to Sh674,900.
The salaries of the chairman, deputy chairman and members of the Afghanistan Anti-Corruption Commission (AACC) have been kept at 365,000 shillings, 310,000 shillings and 290,000 shillings respectively. The AACC is among the part-time constitutional commissions.