Public sector salary arrears hit Sh2.49 billion, Egerton University hardest hit

Egerton University employees were the most affected by unpaid salaries in the financial year that ended in June 2024, according to a report by the Public Service Commission (PSC).

The university accounted for nearly three-quarters of the 2,066 public sector workers who faced salary arrears totalling Sh2.49 billion in unpaid wages.

The PSC report reveals that public universities were at the centre of the salary crisis, with 74.7 per cent (1,544) of the workers who did not receive their pay drawn from these institutions.

Of these, Egerton University had the highest number of unpaid employees, with 1,485 (96 per cent) of its workers not receiving their salaries. Financial constraints were identified as the primary reason for the non-payment of wages.

"Out of the 1,544 officers in public universities who did not receive their salaries as of 30th June 2024, Egerton University had the highest number, with a total of 1,485 (96 per cent) of staff not paid and financial constraints as the key reason for non-payment," the PSC report states.

Other public institutions that struggled to pay their workers included the Kenya Wildlife Service (KWS), which failed to pay 68 workers, and the Ministry of Defence, which had 44 unpaid staff members.

Other departments affected included the State Department for Lands and Physical Planning (42), the National Treasury (42), the National Youth Service (42), Kenya Power (38), the State Department for Livestock Development (36), and the Kenya Revenue Authority (25).

Financial difficulties

The failure to pay workers highlighted ongoing financial difficulties in many public institutions.

These difficulties were largely caused by delays in funds disbursements from the National Treasury and the institutions' inability to meet their budgetary needs.

The issue was particularly acute in public universities, which also faced a wave of strikes by lecturers and non-teaching staff last year.

The strikes were triggered by salary disputes, which led to prolonged disruptions in the institutions' operations.

Eventually, the government intervened and brokered a return-to-work deal, agreeing to settle Sh9.7 billion under the 2021-2025 Collective Bargaining Agreement (CBA).

The PSC report also revealed that most of the workers affected by the arrears had gone without pay for extended periods.

"A majority (84 per cent) of government workers went unpaid for periods of between seven months and a year, 189 (9.1 per cent) were not paid for periods of six months or less, and 129 officers were not paid for periods of over 1 year," the report notes.

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Of the total unpaid salaries, Sh2.3 billion (94 per cent) was overdue for over a year, while Sh98,836,434 (4 per cent) was overdue for between seven months and a year.

The remaining Sh53,687,848 (2 per cent) was overdue for six months or less.