Teachers' pay rise plan in limbo as Treasury cuts Sh10b from budget

TSC CEO Nancy Macharia. [File, Standard]

Teachers have protested a move by the National Treasury to slash Sh10 billion from the Teachers Service Commission's (TSC) budget.

Kenya National Union of Teachers (Knut) Secretary General Collins Oyuu said the reduction will affect implementation of the 2023 Collective Bargaining Agreement (CBA) between the Union and TSC.

"The government has whittled down TSC budget which certainly would affect the implementation of the second phase of teachers' CBA," said Oyuu in a statement. “Despite persistent efforts by TSC to justify their budget needs, the Treasury has slashed their budget by Sh10 billion, reducing it from Sh357.7 billion to Sh347.4 billion.” 

The CBA provides a salary increment from 2.5 to 9 per cent.

The Kenya Union of Post Primary Education Teachers (Kuppet) has also insisted on full implementation of the CBA, and immediate disbursement of overdue medical funds.

Secretary General Akelo Misori recently said despite providing minimal benefits, the agreement went through the full legal process, including registration at the Employment and Labour Relations Court.

“This Agreement, which gave teachers peanuts, went through the full legal process including its registration at the Employment and Labour Relations Court. The benefits under the Agreement are cast in stone and cannot be withheld or re-negotiated,” he said.

According to the 2015 contract with the TSC, teachers were to access unlimited outpatient and inpatient services in select health facilities, along with annual maternity services cover of Sh120,000, optical cover of Sh60,000, and dental cover of up to Sh40,000.

Misori argued that although Parliament allocated Sh15 billion for this scheme, the government has not remitted premiums for over six months, leading to its collapse.

Knut is now calling on the Treasury to unconditionally restore the Sh10 billion to enable the second phase of salary increment.  

“Teachers would not accept anything short of the second phase of the 2.5 to 9 per cent salary increment awarded in 2023 since it would be an act of treachery, breach of contract and a violation of teachers’ labour rights,” said Oyuu.

He stressed that the implementation of the teachers' CBA should not be tied to the Finance Bill 2024 which was rejected by the public or the Appropriation Bill 2024.

Appearing before the National Assembly Committee on Education last Tuesday, chaired by Tinderet MP Julius Melly, TSC Chief Executive Officer Dr Nancy Macharia revealed that teachers will have to wait longer for implementation of the CBA.

“This reduction will impact the compensation of teaching service employees. As a result, the commission will not be able to implement second phase of the CBA,” she said.

Besides a basic salary increment of up to 9.5 percent, teachers hired before July 1, 2023, were to enjoy improved house allowances, especially those in cluster four, and increased earnings to cushion them against the rising cost of living.