NAIROBI, Kenya Oct 7 – The Salaries and Remuneration Commission (SRC) has rolled out allowances policy guidelines for the public service in a bid to streamline the management and administration of allowances and enhance equity and fairness in payment of allowances across the public service.
Speaking in Nairobi on Thursday, SRC Chairperson Lyn Mengich said the policy guidelines further aim to improve transparency and accountability in public institutions.
Mengich said that the decision to develop the guidelines followed a rigorous consultative process with different parties adding that it was done according to the law.
“The policy guideline was developed through a consultative and participatory process with stakeholder and public participation undertaken as required under Articles 10 and 232 of the constitution of Kenya, 2010,” said Mengich.
Under the unveiled framework, allowances in the public service shall be set, regularly reviewed and advised by the SRC while taking into account the principles of affordability and fiscal sustainability.
Allowances will also be streamlined to the gross salary as per the 2019 SRC ‘Report on Streamlining Allowances Payable in the Public Service’ which ranges from 43 to 259 per cent.
Mengich said the commission will streamline the allowance to progressively achieve a proportion of basic salary to gross salary that is no less than 60 per cent, while taking into account its impact on pension.
In regards to double compensation, SRC directed that public service institutions furnish the commission with all allowances payable in their institutions for review, setting and advice to ensure the remuneration package does not distort the relative worth of the job.
The SRC Chairperson further said that allowances shall be standardized and categorized into house allowance, Commuter allowance, Job-related allowances, task-related allowances and labor market adjustment allowances.
“Standardizations and categorization of allowances payable in the public service provides a control framework for paying allowances. Further, it removes inconsistency and enhances standardized payment of allowances across the public service,” said Mengich.
She added that all institutions will be required to classify all allowances into the five categories and submit the list to the SRC for review and advise.
Mengich stated that all public service institutions will be required to submit their data on allowances by November 30 for review, advise and implementation by the SRC adding that the commission will issue advisories on the way forward by April 2022.
She noted that the policies will be implemented progressively noting that institutions operate at different levels.
She further warned that the allowances for any institution which fail to submit their data as required shall cease to apply.
The SRC Chairperson said the commission will embark on compliance checks to enhance adherence to the policy guidelines in July 2022.
While commenting on the the County Assemblies bill on pension that is yet to be passed by Parliament, Mengich insisted the commission has the sole mandate to set the benefits of all state officers
“If the bill is passed the commission will take the necessary steps since the county assemblies don’t have the mandate to set remuneration,” she warned.