County Assemblies Forum urges MPs to amend Pension Bill, citing gaps in retirement protection for MCAs

County Assemblies Forum urges MPs to amend Pension Bill, citing gaps in retirement protection for MCAs

The Bill, which seeks to create a defined contribution plan for assembly members and staff, has faced scrutiny over its adequacy in comparison to the existing gratuity system.

The County Assemblies Forum (CAF) has asked the National Assembly Committee on Social Protection to reconsider key provisions in the County Assemblies Pension Scheme Bill, 2024, saying the current draft does not fully protect the retirement interests of Members of County Assemblies (MCAs).

The Bill, which seeks to create a defined contribution plan for assembly members and staff, has faced scrutiny over its adequacy in comparison to the existing gratuity system.

During a meeting this week, chaired by Hillary Kosgei (MP Kipkelion West), CAF, led by Seth Kamanza, raised concerns that the Bill may fail to meet MCAs' long-term financial needs.

They argued that the current pension framework offers more reliable benefits and that the Bill, in its current form, is insufficient to safeguard members after leaving office.

CAF highlighted lessons from a similar law enacted in 2019 for County Government employees, parts of which were later declared unconstitutional in the case of Okoiti and 11 others versus County Governments Retirement Scheme & 164 Others.

The forum urged legislators to address these legal gaps to ensure that any new pension plan withstands judicial scrutiny.

“To effectively address our issues, we call for amendments to the Bill to address the issues raised in Okoiti's judgment, to increase contribution made by the employee (MCA) and the employer (County Assemblies) from 7.5 per cent and 15 per cent respectively to 12 per cent and 31 per cent respectively and to exclude MCAs from paying NSSF Tier II contributions while under the Pension Scheme,” Kamanza told the Committee.

CAF further recommended that the Bill be revised to include post-retirement medical benefits for MCAs and to adjust the retirement age from 55 to 45 years.

The forum emphasised that these changes should be fast-tracked to support members leaving office in the near future.

“CAF reiterates that MCAs should be treated equitably with other State officers in terms of retirement benefits, including access to comprehensive post-service medical cover, similar to that available to Members of Parliament and retired National Government officers,” Kamanza added.

MP Kosgei acknowledged the points raised, stating that MCAs’ concerns are legitimate.

He noted that County Assemblies reflect the structure of the National Assembly and that retirement benefits should, to a large extent, align with those available to Parliamentarians.

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