Why Allowances for Public Servants Are Higher Than Basic Salaries
Deputy Speaker of the National Assembly Gladys Shollei explains why public servants receive higher allowances than their base monthly salaries.
According to Shollei, the system has long been ingrained in Kenyan history and was developed as a preventative measure to protect the government from increased pensionable liabilities.
At one point, the government did not want to take on too much responsibility for pensions. So, instead of boosting your basic pay, they decided to add allowances to reduce the strain on the pension.
“When people started saying there were too many allowances in the public service wage bill, it was deliberate. “There is no other logic to it.”
The legislator also mentioned raising the retirement age for public servants from 55 to 60 years, stating that the government would use all available means to avoid paying expensive pensions to public servants.
“At the time, the government was unable to pay pensions. There is a historical issue that we don’t discuss, and it has come back to haunt us,” she remarked.
The haunting thing she was alluding to was the government’s move to control the huge wage bill, which has caused government organizations to pay salaries more sparingly.
Lyn Mengich, Chairperson of the Salaries and Remuneration Commission (SRC), has recommended employers not raise the salaries of civil servants, stating that doing so will help achieve fiscal sustainability and harmonization.
Among other things, she advised employers not to consider any review of financial items unless they can demonstrate their ability to afford and sustain such a review during the 3rd National Wage Bill Conference on Monday.
The same precipice has also seen doctors endure the burden of rationed expenditure after not receiving their required salaries, causing them to go on strike nationally.
Mengich has previously stated that the country’s retirement age should remain at 60 to avoid paying large pensions.
She claimed that it would be impractical to fire employees at such a young age while they still had valuable expertise that benefits the Kenyan workforce.
Allowances in Kenya.
According to Article 230(5) of the Constitution, the SRC is responsible for regularly reviewing the compensation and benefits of all state officers based on specified job groups (B1 to E4).
In August 2023, the commission launched a phase 2 review of allowances in the public sector to promote equity in allowance management and advise the government on how to manage the wage bill.
These allowances, include:
1. Retreat Allowance
This is payable to public officers who take on special assignments to evaluate, develop, and produce policy documents away from their workstations.
2. Sitting allowance.
This is paid to members of institutional internal committees, which are formed to help carry out the institution’s mandate.
3. Taskforce Allowance.
Members of any internal institution task team are eligible to receive this allowance. However, the SRC emphasized that public officers should not receive payment for more than one task force at the same period.
The SRC also said that the allowance would be given upon completion of a task at the rates specified by the SRC.
4. Daily Substinence Allowance
This is intended to make it easier for public servants to attend to official tasks away from their primary duty locations, whether locally or internationally.
In Our Other News: SRC Declares No Salary Raise for Public and Civil Servants
The local travel allowance ranges from Ksh. 4,200 for grade A1-B2 workers to Ksh. 18,200 for grade E4-E5 workers.
Allowances for foreign travel vary by country and are all payable in US dollars.
Other alloEvery public servant receives a yearly leave allowance, a monthly commuter allowance, a home allowance, and a risk allowance.
Again, prices vary among job groups.
Why Allowances for Public Servants Are Higher Than Basic Salaries
