Transforming Kenya’s Economy through a Fiscally Sustainable Public Wage Bill

November 2, 2019 | 8:39 am

The SRC will be hosting a National Wage Bill Conference on Transforming Kenya’s Economy through a Fiscally Sustainable Public Wage Bill. The conference will be held on 26th to 28th November 2019 at Kenyatta International Convention Centre (KICC). This comes following a summit meeting held on 4th March 2019, chaired by His Excellency the President of the Republic of Kenya, Uhuru Kenyatta, which adopted a plan of action that a national discourse on the wage bill be held.

The conference is expected to bring together key stakeholders from the National and County Governments, private sector, civil society and other non-state actors. The stakeholders will engage in discussions on key wage bill drivers, and pass resolutions on key strategies and policies on transforming Kenya’s economy through a fiscally sustainable public wage bill.

While the public sector wage bill has shown a positive trend from 57.33% of revenue in 2013/2014 to 48.1% in 2018/2019, concerted effort by all arms of Government is required to achieve a wage bill of not more than 35% of revenue as per the PFM Regulations (2015) and a wage bill to GDP of not more than 7.5% from the currently estimated at 7.9% in line with the average for developing Countries

“The size of wage bill has a direct impact on the performance, national economy and the quality of life citizens live,” said Mrs. Lyn Cherop Mengich, Chairperson SRC during a press briefing on the Conference. She further stated that the more a country spends its internally generated funds on public service compensation, development projects are increasingly being financed through borrowing thus hindering development.

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