Teachers, civil servants get 60pc of State pay increase
In the year ending June, teachers and national government workers received 60 percent of the additional salaries allocated to the public service, totaling Sh40 billion from the recent Sh65.8 billion pay raise, as revealed in the latest Salaries and Remuneration Commission (SRC) report. This highlights the trend of these two categories being the primary beneficiaries as Kenya’s public service wage bill continues to rise.
The report stated that wage payments in the public service grew by 4.8 percent in FY 2021/22, with a projected further increase of 6.5 percent to reach Sh1.1 trillion in FY 2022/23. Despite this growth, the wage bill to nominal GDP ratio is expected to slightly reduce to 7.58 percent in FY 2022/23 and 7.19 percent in FY 2023/24.
In the fiscal year 2022/23, the Teachers Service Commission’s wage bill amounted to Sh372.14 billion, an increase of Sh22.24 billion, with approximately one-third of the additional salaries going to the teaching service. National government workers earned Sh298.55 billion in the same period, receiving an additional Sh17.85 billion, while county employees saw an extra Sh12.09 billion.
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The report noted that the public service’s wage bill to ordinary revenue ratio remains high at 43.54 percent in 2022/23, implying that a significant portion of the taxes collected by the Kenya Revenue Authority goes toward paying public service workers.
Looking ahead, the SRC projected that teachers and national government workers would continue to be the largest beneficiaries of public service pay raises in the two years from July 2022 to June 2024. During this period, the public wage bill is expected to increase by Sh136 billion, with Sh83 billion directed towards teachers and civil servants. County salaries are expected to rise by an additional Sh25 billion in the same timeframe, while workers in State corporations, universities, social service sectors, and commissions will collectively receive 20.7 percent of the additional Sh136 billion.
In the fourth quarter of FY 2022/23, expenditure on personnel emoluments (PE) in the national government is projected at Sh152.33 billion, representing a growth of 10.62 percent compared to Sh137.78 billion in a similar period in FY 2021/22.
The total expenditure is expected to increase from Sh405.82 billion in the third quarter to Sh577.87 billion in the fourth quarter, according to the SRC.
Teachers, civil servants get 60pc of State pay increase