President William Ruto has directed the National Treasury to reassess a Gazette Notice from August 9, 2023, regarding the salaries and benefits of State officers in the Executive, Senate, National Assembly, and county governments. This move comes after the withdrawal of the Finance Bill 2024, leading to expected financial challenges for the current year.
The directive aims to ensure that all arms of government practice financial prudence and operate within their means during these tight financial times. Public outrage had previously erupted over the proposed salary increases for the Executive and Parliament.
Public Service Cabinet Secretary Moses Kuria also addressed the issue in a letter to the Salaries and Remuneration Commission (SRC). He formally rejected the implementation of the Gazette Notice, citing the unsustainable nature of a public wage bill that consumes 35% of national revenue, or Sh1.1 trillion annually. Kuria emphasized that the current financial situation poses both moral and economic challenges, as the high expenditures on public servant salaries strain national finances.
The government is now focused on balancing its budget while addressing critical areas like debt servicing and development with the remaining 54% of revenue.