All Members of Parliament (MPs) and Senators in Kenya will now receive a fixed mileage allowance of Sh366,011 per month, including those who live and work in Nairobi.

The Salaries and Remuneration Commission (SRC) approved this allowance after pressure from lawmakers. This new decision will cost taxpayers over Sh152 million per month or Sh1.82 billion per year.

What Is the New Mileage Allowance?

The SRC confirmed that all 416 MPs and senators will receive the fixed mileage allowance starting April 1, 2025.
MPs who represent constituencies more than 205 kilometers from Nairobi will also get extra pay. They will receive Sh152.6 per kilometer for every kilometer traveled beyond the 205 km radius.

Why Kenyans Are Concerned

This news comes at a time when many Kenyans are struggling with:

• High taxes
• Cost of living crisis
• Public debt

Taxpayers will now have to pay millions of shillings to MPs who may not even travel long distances.
There is growing concern that this decision will cause public outrage, especially because many Nairobi MPs live close to Parliament but will still receive the same amount as those from far-flung areas.

Auditor General Exposes Fake Mileage Claims

A recent report by Auditor General Nancy Gathungu revealed that many MPs might be making fake mileage claims.
According to the audit:

• MPs only fill out a simple form to claim mileage.
• There is no proof that they actually traveled.
• Parliament has paid out millions of shillings without proper checks.

This loophole may have already cost the country hundreds of millions of shillings.

Extra Allowances for MPs

Apart from the mileage allowance, MPs are entitled to several other benefits:

Car Maintenance Allowance: Sh356,525 per month
Gross Salary: Sh725,502 per month
Committee Sitting Allowance: Up to Sh120,000 per month
Special Duty Allowance: Up to Sh150,000 per month
Medical Cover: Inpatient – Sh10 million, Outpatient – Sh300,000, Dental & Optical – Sh100,000 each
Mortgage: Up to Sh35 million at 3% interest
Travel & Subsistence Allowance
Airtime Allowance: Sh15,000 per month
Security Personnel paid by taxpayers

In total, an MP from a far county like Mandera could earn up to Sh2.4 million per month.

Why This Matters

Many Kenyans online have raised questions about these allowances at a time when the government is:

• Increasing taxes
• Cutting public services
• Asking citizens to tighten their belts

The SRC decision may trigger national debate over how public funds are being spent and whether MPs are getting unfair benefits

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The Salaries and Remuneration Commission (SRC) has approved requests totaling Ksh.32.21 billion for the fourth quarter of the fiscal year 2023/2024. This marks a notable rise compared to the Ksh.4.27 billion sanctioned in the same period last year.

On Friday, the SRC reported that it received 79 requests amounting to Ksh.52.02 billion from public institutions for FY 2023/2024, a significant increase from the Ksh.8.18 billion requested in FY 2022/2023.

Of these requests, 11% were for Collective Bargaining Agreement (CBA) adjustments, 79% were for allowances and benefits, 6% were for bonuses, and 4% were for salary adjustments.

For the fourth quarter alone, the SRC granted Ksh.2.52 billion out of Ksh.5.46 billion requested by public service institutions, achieving an approval rate of 46.21%.

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This high approval rate is largely due to SRC’s recommendations on CBAs for various unions, including the Universities Academic Staff Union (UASU), Kenya University Staff Union (KUSU), and the Kenya Union of Domestic, Hotels, Educational Institutions, Hospitals, and Allied Workers (KUDHEIHA) for the 2021-2025 cycle.

County expenditure on Personnel Emoluments (PE) for the fourth quarter of FY 2023/2024 is projected at Ksh.53.42 billion, up from Ksh.48.4 billion in the third quarter but down from Ksh.59.24 billion in the same period last year.

This suggests that county government spending on wages, as a proportion of revenue, continues to exceed the PFM Regulations, 2015, the threshold of 35%.

The national government’s PE, excluding the national security sector and CFS, is expected to decrease from 25.51% in the third quarter to 23.54% in the fourth quarter.

Ordinary tax revenue fell from Ksh.484.22 billion in the third quarter to Ksh.471.1 billion in the fourth quarter, resulting in an increase in the wage bill to ordinary revenue ratio from 29.92% to 34.73%, just shy of the 35% threshold set by the PFM Act, 2012, and PFM Regulations, 2015.

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The Salaries and Remuneration Commission (SRC) halted the salary review for all public officers for the Financial Year 2024/2025 on Thursday, July 18.

This decision stemmed from financial limitations after President William Ruto did not sign the Finance Bill, 2024, into law, as announced by SRC.

“The Salaries and Remuneration Commission (SRC) has postponed the salary review for all public officers in the financial year 2024/2025 indefinitely, pending funding availability,” SRC’s statement partly read.

“This decision arises from the lack of a budget for the proposed remuneration and benefits for all public officers for the financial year 2024/2025, which was scheduled to start in July 2024.”

Facing financial challenges, SRC has begun discussions with the National Treasury to maintain the public compensation bill’s fiscal sustainability.

SRC also announced that there would be no additional funds for implementing the job evaluation results in the 2024/25 financial year.

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“Annual salary notch adjustments within existing salary structures, as advised by SRC, will continue within budget limits,” SRC further directed.

Teachers and healthcare workers who recently signed Collective Bargaining Agreements (CBAs) with the government will be affected by the deferred salary review implementation, SRC announced.

Public service institutions with CBAs should discuss the SRC’s decision and its impact with the respective trade unions.

Regarding when a salary review would occur, SRC informed public officers, “We will monitor the situation and consider a review based on funding availability, as advised by the National Treasury.”

The freeze on salary reviews for public officers came two weeks after SRC halted the upward salary review of all State officers.

SRC explained that this was necessary due to the current economic conditions, a reduced budget, and existing contractual obligations to ensure the public wage bill’s affordability and fiscal sustainability.

SRC Freezes Public Officers’ Salary Review for FY 2024/2025 Due to Financial Constraints

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The Salaries and Remuneration Commission (SRC) explained why President William Ruto and his deputy, Rigathi Gachagua receive housing allowances despite living in state residences.

President William Ruto receives Ksh350,000 per month while Gachagua is paid Ksh300,000 per month.

According to the SRC, the housing allowance is part of the remuneration structure that is used for the salaries of state officers.

The three structures as explained by SRC chairperson Lyn Mengich include the basic salary, allowances, and benefits.

However, owing to the growing concern about public expenditure, the SRC boss noted that the body would be reviewing some of the allowances.

“In terms of the pay structure for public servants, there are three structures. There is the basic salary and allowances and then there are the benefits. Housing and airtime are part of the allowance. It will be part of that review,” she stated.

Mengich made the revelation after concern was raised over the structure which sees the duo earn an allowance for service that is already provided by the government.

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Housing allowance is aimed at helping an individual pay for reasonable accommodation.

Ruto’s Salary Structure

Currently, Ruto earns a basic salary of Ksh866,250. He is also paid a housing allowance of Ksh350,000 in addition to Ksh227,500 for salary market adjustment.

In total, he takes home Ksh1,443,750. However, he receives benefits like an inpatient medical cover of up to Ksh10 million and a life insurance cover.

The president does not receive a commuter allowance. Instead, he is provided with official vehicles by the state.

Gachagua’s Salary Structure

On the other hand, Gachagua is paid Ksh736,313 in basic salary. He receives an additional Ksh300,000 for housing allowance. The DP also received a salary market adjustment of Ksh190,875.

Per month, Gachagua earns a gross salary of Ksh1,227,188.

Similar to the president, he also gets a life insurance policy and a medical cover of Ksh10 million for inpatient and Ksh300,000 for outpatient services.

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The Salaries and Remuneration Commission has succumbed to public demand and decided to halt salary hikes for all State officers.

Lyn Mengich, the chairperson of SRC, mentioned that this decision came after consultations.

She stated that the salary review was conducted by Section 11 (e) of the SRC Act.

Any salary adjustments must consider economic conditions, contractual agreements, and budget availability, she added.

Ms. Mengich emphasized that while adjustments are not ruled out, they must comply with legal requirements.

Previously, President William Ruto instructed the National Treasury to revisit a gazette notice that had raised salaries for Cabinet Secretaries, members of parliament, governors, members of county assemblies, and other top State offices effective from July 1, 2023.

President Ruto called for the suspension of gazette notice No. 10346 dated August 9, 2023, issued by the SRC, following the withdrawal of the Finance Bill, 2024, and expected fiscal constraints this financial year.

The SRC had earlier reviewed and set the remuneration and benefits for State Officers in the National Government’s Executive under the Third Remuneration and Benefits Review Cycle, covering financial years 2021/2022–2024/2025.

The new monthly remuneration structure for State Officers in the National Government’s Executive was slated for implementation in the financial year 2024/2025, starting July 1, 2024.

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State House spokesman Hussein Mohamed posted on X (formerly Twitter) that President William Ruto directed the National Treasury to review the Gazette Notice from August 9, 2023, regarding State officers’ remuneration and benefits due to the withdrawal of the Finance Bill, 2024, and anticipated fiscal challenges.

The President stressed that all government arms need to adhere to their financial limits now more than ever.

Public Service Cabinet Secretary Moses Kuria had earlier requested the SRC to revoke the implementation of the new salary structure.

He referred to the resolutions from the Third National Wage Bill Conference held on April 15-17, 2024, aiming to reduce the wage bill to 35% of revenue as stipulated by the Public Finance Management Act, 2012, and the current austerity measures announced by the President due to the Finance Bill 2024’s withdrawal.

As the Public Service, Performance, and Delivery Management Cabinet Secretary, Kuria refused to implement the gazette notice on increased salaries for the Executive arm of the National Government and urged the Commission to revoke the new salary structure implementation across all government levels.

Calculations indicated that the Treasury would need at least Sh10.92 billion annually for the new salaries and allowances, putting additional strain on the already economically challenged Exchequer, which currently spends Sh9.85 billion annually on salaries and allowances for top officers.

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The SRC’s gazette notice indicated that salaries for Prime Cabinet Secretary Musalia Mudavadi, the 22 Cabinet Secretaries, Attorney General Justin Muturi, Head of Public Service Felix Koskei, and Secretary to the Cabinet Mercy Wanjau would increase to Sh990,000 from Sh957,000.

MPs and Senators, currently earning Sh725,502, would see their pay rise to Sh739,600 monthly.

Governors’ pay would increase from Sh957,000 to Sh990,000, and MCAs would get a raise from Sh154,481 to Sh164,588 monthly.

These new salary bands would require at least Sh744.83 million monthly for salaries alone, excluding allowances that vary with travel and engagements.

Compared to current compensation terms, the Treasury would need an additional Sh30 million monthly or Sh360 million annually to cover the new salaries.

SRC chairperson Lyn Mengich noted that implementing the proposed salary raises depends on the availability of funds and fiscal sustainability.

The salary increases come at a time when President William Ruto faces a public outcry to cut wasteful spending and reduce the tax burden on citizens.

In response to the anti-tax protests and accusations of wasteful spending, President Ruto mandated austerity measures to cut non-essential expenditures, including travel, hospitality, and motor vehicle purchases, to address a Sh346 billion deficit caused by the abandoned Finance Bill 2024.

Under the new salary structure, the pay for the Speaker of the National Assembly and the Senate will rise from Sh1,185,327 to Sh1,208,362, and the Deputy Speakers’ pay will increase from Sh948,261 to Sh966,690.

Leaders of the Majority and Minority Parties in both Houses will earn Sh800,019, while Members of the National Assembly and Senate will receive Sh739,600 monthly. Currently, Majority/Minority leaders earn Sh784,768, and MPs earn Sh725,502.

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In addition to their salaries, MPs and Senators receive Committee Sitting Allowance, with chairpersons earning Sh15,000 per sitting up to Sh240,000 per month. Vice-chairpersons earn Sh12,000 per sitting up to Sh192,000 per month, while members earn Sh7,500 per sitting up to Sh120,000 per month.

The salaries of the 51 Principal Secretaries, the Inspector General of Police, and the Director of the National Intelligence Service will increase from Sh792,519 to Sh819,844.

The new salary for the Deputy Inspector-General, Kenya Police Service, Deputy Inspector-General, Administration, and Director of Criminal Investigations will rise from Sh652,742 to Sh684,233.

At the county government level, the salaries of County Governors will increase from Sh957,000 to Sh990,000, and Deputy County Governors will see their pay rise from Sh652,742 to Sh684,233.

Members of the Executive Committee (CEC) will have their salaries increased from Sh413,079 to Sh422,526, while the Speaker of the County Assembly’s pay will rise from Sh537,003 to Sh549,283.

Deputy Speakers will earn Sh247,943, up from Sh231,722, and Leaders of the Majority/Minority Party, currently earning Sh191,324, will see their pay rise to Sh204,717.

Members of the County Assembly (MCAs) currently earning Sh154,481 will now earn Sh164,588 monthly.

Under the Third Remuneration and Benefits Review Cycle covering Financial Years 2021/2022-2024/2025, State Officers in Full-Time Constitutional Commissions and Independent Offices will see increases in their remuneration and benefits.

The Auditor-General and chairperson of the IEBC will see their salaries increase from Sh957,000 to Sh990,000.

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The Controller of Budget and the vice chairperson of the IEBC, earning similar salaries, will see their pay rise from Sh792,519 to Sh819,844.

Chairpersons of the Kenya National Commission on Human Rights (KNCHR), National Land Commission (NLC), Commission on Revenue Allocation (CRA), Public Service Commission (PSC), Salaries and Remuneration Commission (SRC), Teachers Service Commission (TSC), National Police Service Commission (NPSC), Commission on Administrative Justice (CAJ), and National Gender and Equality Commission (NGEC) will have their salaries increase from Sh792,515 to Sh819,844.

The salaries of the two non-MPs serving in the Parliamentary Service Commission (PSC) will rise to Sh698,600 from Sh674,000.

The Director of Public Prosecutions and members of the IEBC will also see their pay increase from Sh792,519 to Sh819,844.

Vice-chairpersons and members of the IEBC, KNCHR, NLC, CRA, PSC, SRC, TSC, NPSC, CAJ, and NGEC will see their salaries rise from Sh674,000 to Sh698,600.

Commission Secretary/CEOs in the EACC, CRA, PSC, TSC, IEBC, and NPSC will have their salaries increase from Sh674,000 to Sh698,600.

Commission Secretary/CEOs in other Commissions designated as State Officers under Article 260 of the Constitution will see their salaries rise to Sh684,233.

The Data Protection Commissioner’s salary will increase from Sh642,125 to Sh674,900.

Salaries for the EACC chairperson, vice-chairperson, and members will remain at Sh365,000, Sh310,000, and Sh290,000 respectively, as the EACC is among Part-Time Constitutional Commissions.

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In a groundbreaking decision announced on Friday, May 24, the High Court mandated the immediate disbursement of owed car allowances to judges dating back to 2021.

This ruling, issued by a panel of three judges, overturned a directive from the Salaries and Remuneration Commission (SRC) that had halted the provision of Ksh10 million car allowances to judges every four years. The court instructed the Treasury to release the funds promptly.

The verdict arose from a constitutional petition filed by Peter Gachuiri Mwangi, seeking to restore the taxable car allowances for judges of the High Court, Court of Appeal, and Supreme Court.

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These allowances, a longstanding component of judges’ compensation since 2011, were abruptly revoked by the SRC in 2021. Gachuiri’s petition argued for their reinstatement, asserting their importance in enabling judges to effectively fulfill their duties.

The Kenya Judges Welfare Association supported Gachuiri’s plea, highlighting the significance of the car grant in facilitating judges’ professional responsibilities and personal needs.

Contrarily, the SRC maintained its stance, contending that judges already receive state-provided chauffeured transport around the clock. According to the SRC, granting additional car allowances would constitute double remuneration, a claim disputed by advocates for judicial independence.

In response to the SRC’s call for an expanded bench, the Judicial Service Commission (JSC) opposed it, asserting judges’ capability to impartially handle matters concerning their interests. Issa Mansour, representing the JSC, urged the court to reject the SRC’s plea and proceed with the case.

Despite resistance faced by the SRC in attempting to mediate the case in February, Gachuiri’s petition, aimed at safeguarding judges’ interests, garnered support from various quarters.

Judicial Perks

A comprehensive examination of judicial compensation reveals significant revisions in the salaries of High Court judges over the years.

In a communication dated August 18, 2017, the SRC stated that High Court judges received a minimum gross monthly income of Ksh657,426 and a maximum of Ksh907,279. However, the maximum salary was subsequently raised to Ksh1,000,974 in the SRC’s 2022 guidelines.

Further adjustments proposed by the SRC in September 2023 aimed to raise High Court judges’ salaries to a minimum of Ksh736,444 and a maximum of Ksh1,027,826 for the 2023/2024 fiscal year. These increases were projected to continue in subsequent years.

Aside from basic salaries, High Court judges enjoy various allowances and benefits outlined in the SRC’s 2023 review.

These perks include official transportation and a comprehensive medical scheme covering the judge, spouse, and up to four dependent children under the age of twenty-five.

Under the medical scheme, inpatient services are covered up to Ksh10 million, with outpatient services receiving coverage of Ksh300,000. Additional benefits cover maternity, dental, and optical services.

High Court judges also receive allowances and insurance benefits, including a Ksh25,000 airtime allowance, a Ksh50,000 annual leave allowance, and group life insurance and group personal accident insurance valued at three times their annual basic remuneration package.

Furthermore, judges with additional responsibilities are entitled to a special judicial duty allowance of Ksh30,000. High Court judges can also access a Ksh8 million car loan and a Ksh35 million mortgage, with durations of 5 years and 20 years, respectively.

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If President William Ruto appoints Chief Administrative Secretaries (CASs), they will receive a gross salary of Ksh. 780,000.

This is according to advice by the Salaries and Remuneration Commission (SRC) to the Public Service Commission (PSC).

According to the evaluation by the SRC, the salary of a CAS will be capped at Ksh.780, 000, slightly higher than the Ksh.710,000 an MP pockets every month.

The salary includes Ksh.459,113 in basic pay, Ksh.165,000 house allowance, and Ksh.155,887 in salary market adjustment.

In a letter by SRC Chair Lyn Mengich copied to Head of Public Service Felix Koskei, National Treasury Principal Secretary Chris Kiptoo, Public Service PS Amos Gathecha, and Auditor General Nancy Gathungu, a CAS will also be entitled to official transport that includes being provided with an official GK car of engine capacity not exceeding 3000cc.

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“SRC has determined the monetary worth of the job of a CAS at Grade F1 and would like to advise on the attendant remuneration and benefits structure,” Ms. Mengich said in the letter dated March 14.

“The monthly remuneration advised herein is fixed for the term of office of the CAS unless reviewed and advised by SRC. For gratuity and pension, the pensionable emolument shall be based on the monthly basic salary.”

The remuneration also includes an attractive annual medical cover that includes Ksh.10 million for inpatient, Ksh.300,000 for outpatient, maternity (Ksh.150,000), dental (Ksh.75,000), and optical (Ksh.75,000).

The medical benefit shall be extended to one spouse and up to four children below the age of 25 fully dependent on the CAS.

This comes after the National Assembly passed a bill legalizing the appointment of CASs last week amidst national dialogue on huge pending bills in the government.

Previously, the Justice and Legal Affairs Committee had capped the number of CASs to 22, but that was changed to allow the president a free hand in the number of CASs to be appointed.

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Lyn Mengich, Chairperson of the Salaries and Remuneration Commission, has voiced her disagreement with parliament’s proposal to decrease the retirement age for civil servants.

During an interview with reporters on Tuesday, April 2nd, the chairperson asserted that lowering the retirement age would simply result in more productive individuals falling under the pension umbrella.

At present, civil servants can retire at 60 years old, whereas individuals with disabilities have a retirement age of 65.

Nevertheless, a proposal presented to a parliamentary committee is seeking to reduce the compulsory retirement age to 55.

As per Parliament, the intention behind reducing the age requirement is to generate openings and encourage the incorporation of Kenya’s youth into the Civil Service.

Mengich argued that reducing the age limit wouldn’t address the issue, as it would lead to more individuals being deemed reliant on pensions and the labor force.

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“If you say people retire at 55, these are people who are still productive they can still contribute effectively to the country. Why do you want to retire them early yet these are people who can contribute ?” stated Mengich

She elaborated that individuals aged 55 and above remain capable of maintaining productivity and earning income instead of being deemed obsolete.

Mengich suggests that exploring alternative methods to generate employment would be preferable to simply lowering the mandatory age limit.

Additionally, when discussing the matter of the existing government wage expenditure, the chairperson of the SRC emphasized that the privatization of state-owned enterprises was essential for decreasing the wage bill.

She also asserted that the duplication of roles had led to an inflated wage bill that is burdening Kenyan taxpayers.

Civil servants are resisting the Public Service Amendment Bill, 2023, put forward by Embakasi Central MP Benjamin Gathiru, which suggests lowering the age limit.

Trade unions have objected, arguing that this constitutes a violation of contracts that were agreed upon with the government during employment.

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The Salaries and Remuneration Commission (SRC) says Kenya is living beyond its means and that the cost of the wage bill is eating into much of the country’s revenues beyond the allowed maximum of 35 percent.

SRC Chair Lyn Mengich says the growing appetite and endless hiring by the government risks pushing up the wage bill further, making it difficult to reserve resources for the delivery of services and development.

With the required wage bill-to-revenue ratio way above the recommended 35% target of the PFM Act and Regulations, SRC says the wage bill-to-ordinary revenue ratio has declined from 54.77% in FY 2020/21 to 40.45% in the current financial year.

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The SRC added 937,900 public sector employees accounting for Ksh.1.035 trillion of the total Ksh.2.2 trillion revenue, and if the current statistics stay constant, the commission says this will shoot up to Ksh.1.428 trillion in the financial year 2028/29.

SRC, despite the grim statistics, projects to lessen the wage bill to revenue ratio in the financial year 2028/29 to 34.58%, but against a tide of unexplained decisions including the employment of 250 Kenyans without due diligence according to the Public Service Commission (PSC).

Nearly eight months since the positions of Chief Administrative Secretaries (CAS) were declared unconstitutional, a move to reintroduce them will breach optimum staffing numbers.

“What we are finding today in all levels of government is that we are carrying excess staff establishment. They are way above our wage bill, especially national government and state corporations,” said Mengich.

The multi-stakeholder meeting attended by stakeholders comes ahead of the third national wage bill conference in April at the Bomas of Kenya.

SRC Says Kenya Living Beyond Its Means As Wage Bill Shoots Up

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Saturday, July 1st, Deputy President Rigathi Gachagua urged dissatisfied Cabinet Secretaries to resign in response to President William Ruto’s directive to the Salaries and Remuneration Commission (SRC) to suspend their proposed salary increases.

Gachagua, speaking in Elgeyo Marakwet County during the Thanksgiving ceremony for National Treasury Principal Secretary Chris Kiptoo, emphasized President William Ruto’s willingness to appoint alternative CSs who are willing to accept existing salary structures.

The Democratic Party urged President Ruto to redirect the proposed funds to bolster various economic sectors, including the purchase of additional fertilizers for farmers.

Gachagua issued a provocative challenge: “If there is a Cabinet Secretary who is unhappy with President William Ruto’s directive, you have the option to resign and let us find someone else who will accept that salary.”

Gachagua instructed all high-ranking state employees to reimburse SRC if it disobeys Ruto’s orders, to promote strict fiscal responsibility.

“We do not desire salary increases. Even if the money is located, we will not accept it. If you remit salaries with increased amounts, we will return them to the sender,” Gachagua said, urging a more inclusive and sustainable approach to managing the bloated wage bill.

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Returning the funds would also demonstrate Ruto’s commitment to promoting integrity and transparency within his administration.

However, he supported Ruto and indicated that other civil servants should receive salary increases beginning July 1.

As of July 2024, Cabinet Secretaries were anticipated to receive Ksh1,056,000, up from the current Ksh924,000.

On Friday, June 30, Ruto rejected SRC’s proposed 14 percent salary increase. Instead, the Head of State instructed the commission to create uniform pay stubs for all government employees.

“I’ve informed SRC that there is a globally accepted formula known as compression formula. Our salary increase will be withheld until I hear back from them that they’ve met the criteria.”

“But for the other individuals, the state officers, myself, my deputy, ministers, PSs, MPs, and so on. This salary would remain unchanged. Ruto ordered that the status quo continue until the SRC provides us with international best practices to close the gap.

According to the proposal, Ruto’s salary would increase from Ksh1,443,750 to Ksh1,650,000.

Gachagua Challenges Cabinet Secretaries to Resign Amid Salary Dispute

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