NAIROBI, Kenya -The Ministry of Public Service, Performance, and Delivery Management has announced the suspension of the recently proposed salary structure for state officers, citing unsustainable public wage expenditure.
The suspended salary structure, detailed in Kenya Gazette Notice No. 177 from August 9, 2023, was intended for implementation in the 2024/2025 financial year starting July 1, 2024.
However, Public Service CS Moses Kuria emphasized the need to address the rising public wage bill, which currently consumes Sh1.1 trillion annually, or 47 percent of national revenues.
This expenditure supports 900,000 public servants, leaving the remaining 53 percent of revenue to cover the needs of 54 million Kenyans, debt servicing, and development projects.
The decision follows the resolutions of the Third National Wage Bill Conference held in April 2024, which aimed to reduce the wage bill to 35 percent of revenue in line with the Public Finance Management (PFM) Act of 2012.
The government is also grappling with austerity measures announced by President William Ruto, exacerbated by the withdrawal of the Finance Bill 2024.
“The current trajectory indicates a continual rise in expenditure on salaries, allowances, and benefits for public servants, placing immense strain on our national finances,” stated CS Kuria. “This is not a challenge we can afford to ignore.”
In his letter, CS Kuria called on the SRC to degazette the implementation of the new salary structure for all levels of government, stressing the need for public sector institutions to make sacrifices similar to those expected of other Kenyans.
He highlighted that the issue is not only economic but also moral and ethical, requiring a balanced approach to fiscal management and fair compensation for public servants.
