TSC’s Cash Remittance Lapses Leave Teachers in Financial Strain
Many teachers have been affected by TSC’s failure to remit third-party deductions in recent months. These delays impact not only loan repayments but also statutory contributions to the NSSF, Kenya Revenue Authority (KRA), Pay As You Earn (PAYE), and National Hospital Insurance Fund (NHIF).
David Bett, a secondary school teacher from Kuresoi South in Nakuru County, is facing severe financial challenges because the Teachers Service Commission (TSC) has failed to remit his loan deductions.
Bett had borrowed Sh670,000 from a teachers’ sacco a year ago to expand his agricultural business. Although TSC initially remitted Sh14,000 monthly to the Sacco through a check-off system, these remittances stopped three months ago.
This led the Sacco to question whether Bett was still employed by TSC or if there had been changes to his employment status. Last week, Bett discovered that the Sacco had used his shares, valued at Sh42,000, to cover the missed loan payments.
The Sacco management explained that since his salary was processed through another financial institution, the only way to recover the amount was by using his shares. Bett is now perplexed as to why the deductions from his payslip were not remitted by TSC.
Widespread Issue Among Teachers
Similarly, Hellen Nyaboke, a teacher from Narok County, recently discovered that TSC had failed to remit her National Social Security Fund (NSSF) deductions. This was the first time she encountered such a problem in her 11 years of service.
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After requesting a remittance history from TSC, NSSF assured her that the issue would be addressed as long as she was employed, and they are currently following up on the matter. Nyaboke and Bett’s experiences are not isolated incidents.
Response from TSC and Unions
TSC Chief Executive Officer Nancy Macharia acknowledged that the issue had been raised by teachers’ unions, including the Kenya National Union of Teachers (Knut) and the Kenya Union of Post Primary Education Teachers (Kuppet). Macharia stated that resolving these issues was crucial to calling off a planned strike scheduled for August 26, 2024.
However, both Knut and Kuppet disputed TSC’s claim that the issues were resolved. In a joint statement, the unions expressed their frustration, alleging that TSC had been evasive about the immediate remittance of all third-party deductions.
Knut and Kuppet Secretary Generals, Akello Misori and Collins Oyuu, respectively, highlighted the unfortunate situation where teachers were being harassed by financial institutions due to TSC’s failure to remit deductions.
Misori also noted that teachers were being threatened by auctioneers for loans that had not been paid because of TSC’s actions. Additionally, he emphasized that statutory deductions like NSSF and NHIF, though reflected on pay slips, had not been remitted to the relevant institutions by TSC.
Impending Teachers’ Strike
Teachers in public schools are preparing to strike when schools reopen next week for the third and final term of the year. This comes at a time when primary and secondary school students are expected to sit for exams administered by the Kenya National Examination Council (KNEC).
Among the contentious issues raised by the teachers is the government’s failure to provide Sh13.3 billion for implementing the second phase of the 2021-2025 Collective Bargaining Agreement (CBA), which began on July 1, 2024.
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The unions are also demanding that TSC initiate structured discussions on the implementation of the 2025-2029 CBA, claiming that the Commission has been delaying the issue.
Additionally, the unions are calling for the promotion of 130,000 teachers who attended promotional interviews in 2023, the employment of 20,000 new teachers, the transition of 46,000 interns to permanent and pensionable terms, and the release of funds for comprehensive medical cover.
TSC’s Cash Remittance Lapses Leave Teachers in Financial Strain
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