Governor Wanga grilled as county wage bill exceeds legal limit

Governor Wanga grilled as county wage bill exceeds legal limit

Wanga defended the increase, saying it stemmed from the county addressing long-overdue financial obligations.

Homa Bay Governor Gladys Wanga is under fire after revelations that the county’s wage bill increased by over Sh400 million in just one year, far exceeding the threshold allowed by law.

During a session before the Senate County Public Accounts Committee (CPAC, it was disclosed that the county now spends roughly 55 per cent of its revenue on salaries, well above the 35 per cent ceiling set under national regulations.

Committee chair Senator Moses Kajwang’ raised concerns about the rising expenditure, warning it could undermine essential county services.

“The wage bill grew from about Sh4.6 billion to about Sh5 billion in one year. What happened?” he asked.

He added, “What is the exact percentage? This is where the risk lies. If 55 per cent of your money is going to employees, then even your payment plans for pending bills sound like a political promise.”

Governor Wanga defended the increase, saying it stemmed from the county addressing long-overdue financial obligations.

“We have been looking at that figure seriously, and there has been a major question of employer obligations,” she stated.

She explained that settling unpaid gratuities and pensions contributed heavily to the surge in the wage bill.

The governor further cited the introduction of employer contributions under policies such as the Affordable Housing Levy and the recruitment of additional staff as key drivers of the wage growth.

“When you start remitting employer obligations, you will not pay the same as when you were not paying the obligations,” she told the committee.

Despite these explanations, senators expressed concern over the sustainability of the county’s payroll.

Regulations under the Public Finance Management (County Governments) framework cap salary spending at 35 per cent of total revenue, yet Homa Bay continues to exceed this limit.

According to Wanga, the county executive employs 7,183 workers, costing about Sh457 million in monthly salaries.

Auditor General Nancy Gathungu’s special audit report for 2023-24 confirmed the payroll accounted for 53 per cent of revenue, warning: “The increase in the percentage ratio of compensation of employee to total revenue indicates a growing wage bill, which may be unsustainable in the long term.”

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