SRC issues Gazette Notice on the Remuneration and Benefits for State Officers for the Remuneration Review Cycle 2021/2022 – 2024/2025

January 23, 2023 | 3:57 pm

In exercise of the mandate of SRC, as set out under Article 230(4)(a) of the Constitution of Kenya, 2010, SRC reviewed and set the remuneration and benefits for State officers under the Third Remuneration and Benefits Review Cycle.

In accordance with Section 11(e) of SRC Act, 2011, SRC set a four-year review cycle for remuneration and benefits in the public service so as to align with the country’s planning and budgetary processes.

The first review cycle ran for the financial year (FY) 2013/14 – 2016/17, while the second was during FY 2017/18 – 2020/21. The third review cycle runs for FY 2021/22–2024/25.

The third remuneration review cycle is in three phases, as follows:
a) For the period 2021/2022, as applicable during the second remuneration review cycle;
b) For the period 2022/2023, SRC has set the remuneration and benefits as published in the Gazette Notice; and
c) For the period 2023/2024 – 2024/2025, SRC shall set the remuneration and benefits on or before the commencement of FY 2023/2024.

In reviewing and setting remuneration and benefits for State officers, SRC is guided by principles set out in Article 230(5) of the constitution, and Section 12 of SRC Act, 2011.

These principles are:
a) The need to ensure that the total public compensation bill is fiscally sustainable;
b) The need to ensure that the public services are able to attract and retain the skills required to execute their functions;
c) The need to recognise productivity and performance;
d) Transparency and fairness; and
e) Equal remuneration to persons for work of equal value.

With that background, the outcome of the third remuneration review cycle was informed by;

a) Job evaluation: SRC undertook job evaluation across the public service to determine the relative worth of jobs and to harmonise job grades within and across sectors to ensure equity and fairness in salary structures.

b) Salary surveys: SRC carried out salary surveys covering international benchmarks, and public and private sector salary surveys. These provided market data, which will inform the salary structures in the last phase of this cycle.

c) Economic outlook: The review took into account Kenya’s economic performance for FY 2020/2021 – 2021/2022, as well as affordability and fiscal sustainability.

d) Deconsolidation of pay: SRC took into account the judgment of the Employment and Labour Relations Court Petition 29 of 2019, requiring SRC to deconsolidate the remuneration for State officers.

e) Stakeholder engagement: Wide and consultative public and stakeholder engagements were held. The input was analysed and considered while revising the proposed remuneration and benefits structures.

Consequently, for FY 2022/2023;
a) The salary structure remains the same, thus, the gross pay has been retained, except for roles that have been upgraded.
b) The consolidated salary has been deconsolidated and itemised into basic salary, house allowance, commuter allowance and salary market adjustment.
c) The roles of the Members of Parliament, County Executive Committees and County Speakers are upgraded as a result of job evaluation.
d) Sitting Allowance for Plenary Sessions in Parliament and County Assemblies is abolished and ceases to be payable.
e) Transport Facilitation Benefit in the form of a Car Grant for State officers is abolished and ceases to be payable.

Any remuneration and benefits not specified in the Gazette Notice is not payable, unless subsequently set by SRC. The Gazette Notice took effective on 9 August 2022.