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NEWS & CURRENT AFFAIRS

The Nairobian

Cotu urges unions to renegotiate salary deals

National

By Okumu Modachi | Oct 12, 2024

COTU Sec General chats with President William Ruto as Labour CS Dr Alfred Mutua and FKE CEO Jacqueline Mugo look on after the signing of a gazette notice to effect a 6 per cent minimum wage increase at State House Nairobi. [PCS]

The worker’s umbrella body has urged worker’s unions to renegotiate their Collective Bargaining Agreements (CBAs) with respective employers.

This follows an increase in the minimum wage by six per cent announced by the government in a gazette notice published on October 11, 2024.

In a statement on Saturday, the Central Organization of Trade Unions (Kenya) directed its affiliate unions to negotiate a two-year cycle CBA on behalf of the members to provide flexibility in response to evolving economic conditions.

COTU-K Secretary General Francis Atwoli said the approach will ensure that the six per cent wage increase is integrated into contracts, thereby cushioning workers from losing their purchasing power.“We advise our affiliates to ensure that they negotiate for a two-year cycle CBA to have flexibility in the negotiations in accordance to changing economic dynamics,” he said.

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Minimum wage

“This process will ensure that the six per cent increase is duly incorporated, safeguarding the rights and interests of Kenyan workers across various industries,” added Atwoli.

In the new schedule issued by Labour Cabinet Secretary Alfred Mutua, the minimum wage for unskilled employees is set at Sh7,997 per month, translating to Sh335 daily.

At the same time, the Labour Institutions Act Cap 234 set out that skilled and semi-skilled workers will also benefit from the pay hike.

For instance, house managers and cooks will now earn a minimum of Sh9,129 monthly, while farm foremen will receive Sh14,427.

According to the notice, the government expect employers to adjust their staff’s payslips to conform to the directive by November 1, this year.

The gazettement comes months after President William Ruto, on May 1, directed the Ministry of Labour to review the wages of workers across the country.