New 6% Minimum Wage Order: What Workers Will Earn Starting November 1

The Kenyan government has officially gazetted the latest wage standards for general laborers across all sectors, following the 6% minimum wage increase announced earlier this year by President William Ruto. This long-awaited adjustment is set to take effect on November 1, bringing much-needed relief to workers facing the pressures of rising living costs.

Key Highlights of the Wage Structure

Under the new pay structure, all unskilled workers will now earn a minimum monthly wage of KSh7,997, or KSh335 per day. This pay hike aims to better align workers’ compensation with the current economic conditions, ensuring that even the lowest-paid laborers can better meet their daily needs.

Other workers in various industries are set to benefit as well:

  • Stockman/Herdsman: KSh9,235 per month (KSh391 daily)
  • Lorry Driver: KSh11,718 per month (KSh496 daily)
  • Combine Harvester Driver: KSh11,166 per month (KSh473 daily)
  • Tractor Driver: KSh10,136 per month (KSh430 daily)
  • House Servant/Cook: KSh9,129 per month
  • Farm Foreman/Farm Clerk: KSh14,427 per month
  • Senior Foreman: KSh9,339 per month
  • Farm Artisan: KSh9,558 per month

These adjustments are part of a broader government effort to enhance the livelihoods of Kenyan workers by ensuring fair compensation across the board.

A Step Towards Fair Pay

Speaking on the new wage order, Labor and Social Protection Cabinet Secretary Alfred Mutua emphasized that the adjustment reflects the government’s ongoing commitment to improving the standard of living for all workers. “This adjustment ensures that wages reflect the current economic environment and provide a better standard of living,” Mutua stated.

The announcement follows months of intense negotiations between the Ministry of Labor and trade unions, with the Central Organization of Trade Unions (COTU) playing a key role in advocating for workers’ rights. COTU Secretary General Francis Atwoli praised the wage increase, calling it a crucial step towards safeguarding workers from the effects of inflation and the rising cost of living. “This adjustment reflects the government’s commitment to addressing the challenges faced by workers, especially during these economically challenging times,” Atwoli remarked.

A Historic Labor Day Announcement

The wage increase was first hinted at during President William Ruto’s speech at the Labor Day celebrations on May 1, 2024, where he called for immediate action on wage adjustments. “I want the Labor CS to sit with the relevant committee. I want the minimum wage increased by at least 6 per cent,” Ruto urged. The president’s directive has now been formalized, signaling the administration’s responsiveness to the needs of Kenyan workers.

Protecting Workers’ Purchasing Power

COTU has urged all affiliated unions to begin re-negotiating their Collective Bargaining Agreements (CBAs) to incorporate the new wage increase. Atwoli emphasized the importance of this process to protect workers from the erosion of their purchasing power amidst economic fluctuations. “In light of this, COTU (K) advises all affiliated unions and their members to begin re-negotiating their respective CBAs,” he stated, adding that a two-year CBA cycle will provide flexibility in responding to changing economic dynamics.

The wage increase, although modest, is viewed as a significant victory for Kenyan workers, particularly those in low-paying sectors. Atwoli assured workers that COTU would continue its advocacy to ensure their rights and welfare are protected. “We remain committed and dedicated to advocating for workers’ rights and we shall continue to engage with the government and employers to promote fair and just working conditions,” he reaffirmed.

Looking Ahead

As Kenya prepares to implement the new wage structure, attention will shift towards ensuring compliance across various industries. Both the government and trade unions will play a critical role in monitoring the rollout and addressing any challenges that may arise. For workers, the increase in their monthly pay is a welcome boost, offering some relief in navigating the financial pressures brought on by the current economic climate.

The 6% wage hike is a step in the right direction, but many hope it is just the beginning of more comprehensive reforms to improve the financial wellbeing of Kenyan workers across all sectors.

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