Kenyan teachers currently serving under the Career Progression Guidelines have got a reason to smile following SRC’s revelation about a possible pay rise come July this year. This revelation comes against the backdrop of the ever-rising cost of living and the impending finance bill which if enacted into law will greatly sever TSC teachers’ payslips.
Kenyan teachers and government workers can therefore look forward to a salary increase come July, as recommended by the Salaries and Remuneration Commission (SRC).
Budgetary Allocation and Employment Evaluations
The Wages Commission has been provided with a sizeable budget of Sh17.7 billion by the Treasury, as evidenced by documents presented to the departmental committee on finance and national planning. The majority of this money will be used to complete any outstanding performance evaluations.
Discussions between Treasury and SRC
The Treasury and the SRC are now in discussions over the specifics of the planned salary increase for teachers and government employees. After a deal is reached, the cash will be divided up between the relevant MDAs.
Ending the Salary Freeze
Secretary, who also addressed the issue of funding. The National Health Insurance Fund (NHIF) has also been promised Sh2.1 billion to be used for contractual responsibilities.
SRC’s Role in Compensation Review
The SRC’s Role in Compensation Review The SRC is responsible for reviewing public sector salaries and benefits. The first cycle of reviews was for the years 2013–2017; the second, for the years 2017–2022, was halted by the salary freeze that took effect in 2021. However, the commission has been working hard to enhance the public sector’s job grading structure and streamline benefits for all employees.
Impact on Public Officials and the Economy
The anticipated wage raise will help around 954,000 civil officials who have been struggling to make ends meet due to the cost of living hike. Employees have not seen the full benefits of the lower inflation rate due to the high costs of food and fuel. An increase in government salaries has the potential to increase private sector workers’ expectations of their own pay.
President Ruto’s Position on Paycheck Distribution:
Public sector salaries will not be paid with borrowed money, President William Ruto has reiterated. He thinks it’s better to wait until payday to spend money than to have to resort to borrowing. The decision was made to strengthen the budget and prevent more debt.
The future of taxation is uncertain since President Ruto recently noted in an interview that he is worried about Kenya’s low revenue-to-GDP ratio. He implied that the country could have to increase taxes to deal with the problem. It is possible that the government would propose new taxes in order to pay for the Sh3.6 trillion expenditure, and this will be explained in the upcoming budget presentation to Parliament.