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Government Increases Minimum Wage by 12% During Labour Day Celebrations But FKE Says It’ll Be Difficulty

Government Increases Minimum Wage by 12% During Labour Day Celebrations effective May 1, 2022.

The Government of Kenya has announced a minimum wage increase of 12% effective May 1, 2022.

President Uhuru Kenyatta made the announcement during the Labour Day celebrations at the Nyayo Stadium today, May 1, 2022.

The new wages will be effective May 1, 2022.

President Kenyatta’s proclamation means that the lowest-earning Kenyan will now pocket Ksh20,680 up from Ksh17,240. 

“As a caring government, we find that there is a compelling case to review the minimum wage to cushion our workers against the further erosion of their purchasing power while also guaranteeing the competitiveness of our economy.” In that context, I today declare an increase of the minimum wage by 12 percentage points, with effect from Sunday, May 1, 2022,” the President announced.

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Government Increases Minimum Wage

The Head of State noted that the upward review was occasioned by the cost of living, with Kenyans confronting the skyrocketing prices of essential commodities.

Francis Atwoli, Secretary-General of the Central Organization for Trade Unions (COTU), had previously fought for a 40 percent increase.

However, after negotiations with the Federation of Kenya Employers (FKE), they were able to reduce the figure to 23 percent, which the government reduced by halfway.

However, While addressing the media immediately after the directive, FKE Executive Director Jacqueline Mugo said the proclamation will also affect the private sector but promised to oblige.

“It sits in a difficult way with us and is a tough one to absorb. But as people from the private sector, since this has been announced and has come from the government, we will abide by it,” Mugo stated

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