46,000 JSS Teachers, Medical Interns Survives as Finance Bill Sails Through 2nd Reading
The Finance Bill, 2024 has passed its second reading with 204 Members of Parliament (MPs) voting in favor and 115 against, with no abstentions. The voting was done by acclamation instead of a secret ballot. This Bill now proceeds to the Committee of the Whole House, which includes all Assembly members.
Speaker Wetang’ula informed MPs that discussions on the Finance Bill are now complete and any proposed amendments should be submitted to the clerk for processing. MPs had until 1 pm on Thursday to file their amendments. The Committee of the Whole will then review all proposed amendments, vote on each, and approve clauses with or without changes. If the Committee approves the Bill, it will move to the final stage for the Third Reading, scheduled for Tuesday, June 25. At this stage, no further substantive amendments will be accepted.
President William Ruto emphasized the importance of passing the Finance Bill, highlighting its impact on teachers, particularly those in Junior Secondary Schools (JSS) who are yet to be employed. He stated that the Bill includes resources for employing JSS teachers, transitioning them to permanent and pensionable status. The President urged MPs to expedite the Bill to ensure these teachers, who have been working for the past two years, receive the benefits they deserve.
Speaking at Garissa University’s fifth graduation ceremony, the President stressed that the budget will provide loans and scholarships to students and enable school-going children to access free meals, which are essential for keeping vulnerable children in school. He called on MPs to pass the Finance Bill to make these facilities available.
President Ruto also acknowledged the government’s appreciation for the role of universities and colleges in the country, and he mentioned efforts to unlock the potential of Arid and Semi-Arid Lands (ASAL) regions. Meanwhile, Kenyans protested against the new tax proposals in the Finance Bill, 2024. In response, MPs agreed to drop some contentious tax proposals, including a 16% VAT on bread, VAT on sugar transportation, tax on financial services, and a 2.5% tax on motor vehicles.
The successful passage of the Finance Bill, 2024, is crucial for teachers as it directly impacts their employment and benefits, ensuring they can continue to provide quality education to students across the country.
Treasury Cabinet Secretary Njuguna Ndung’u suggested a significant budget cut of Sh18.9 billion from the Teachers Service Commission (TSC), intended for their employment.
Ndung’u stated that this budget reduction is aimed at addressing the country’s Sh200 billion budget deficit, following the Kenya Kwanza MPs’ decision to remove some tax proposals from the Finance Bill, 2024.
Consequently, he recommended postponing the planned confirmation of the interns to permanent and pensionable terms and the hiring of new JSS teachers.
Initially, the government allocated Sh13.4 billion for this purpose, but TSC estimated that Sh16.6 billion was needed, creating a significant funding shortfall. The National Assembly Education Committee was scheduled to meet TSC on Wednesday to discuss the matter.
Last week, the Court of Appeal halted plans to employ the 46,000 interns on permanent and pensionable terms.
Justices Asike Makhandia, Sankale Ole Kantai, and Ngenye Macharia suspended the orders from the Employment and Labour Relations Court (ELRC), which had required TSC to make the conversion.
Consequently, the interns must continue in their current roles until the case filed by the Nancy Macharia-led commission is resolved.
TSC argued that the ELRC’s orders disrupted their plans since the necessary funds for converting the intern teachers to permanent status were not budgeted.
TSC’s lawyer, Allan Sitima, contended that the lack of financial resources to employ the 46,000 interns on permanent terms jeopardizes the rights of all public school learners, as outlined in Articles 43 and 53 of the Constitution.
The new measures announced by the Treasury CS are detailed in a letter to the National Assembly clerk dated June 19. These cuts will affect various government arms, including ministries, departments, and agencies.
Treasury Cabinet Secretary Njuguna Ndung’u explained that the government might need to implement substantial budget cuts for the 2024/25 Financial Year across various ministries, departments, and agencies due to limited resources.
ALSO READ: Treasury Threaten to Cut Ksh.18.9B TSC Budget for 46,000 JSS Teachers Confirmation
The proposed budget cuts will reduce TSC’s allocation by Sh18.9 billion, which will delay confirming interns to permanent and pensionable employees and negatively impact the hiring of new JSS teachers.
Additionally, the State Department for Medical Services will face a budget cut of Sh4.7 billion for the 2024/25 Financial Year if the contentious Bill is rejected by lawmakers.
Specifically, budget allocations for medical interns and the Managed Equipment Service (MES) will be reduced by Sh3.7 billion and Sh1 billion, respectively.
46,000 JSS Teachers, Medical Interns Survives as Finance Bill Sails Through 2nd Reading
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