Labour Day Disappointment as No Pay Rise for Workers
Kenyan workers were left disheartened on May 1st, 2025, as the country observed its third Labour Day under the Kenya Kwanza administration without any wage increase announcements. Unlike previous celebrations, the government made no adjustment to minimum wages, despite rising living costs and economic uncertainties.
This year’s celebration came amid high unemployment, increased payroll deductions, and continued company restructuring as businesses struggle to stay afloat. The government has yet to implement the 6% wage increment promised in 2024, further deepening frustrations among workers.
Calls from labour leaders to shift statutory deductions from gross to basic salary went unaddressed. COTU Secretary-General Francis Atwoli voiced worker grievances, stating: “Hizi vitu tunakatwa—housing nini—it should not be on gross, it should be on basic, so that gross umefanya overtime umefanya nini is not interfered with.”
President William Ruto acknowledged the workers’ concerns, promising that employers would now be required to apply eligible tax deductions directly when calculating Pay As You Earn (PAYE), rather than through the Kenya Revenue Authority.
However, further criticism was directed at the Ministry of Labour regarding the controversial “Kazi Majuu” program. The initiative, designed to create overseas employment opportunities, has been marred by claims of lost funds and lack of transparency. The ministry remained silent on these concerns, offering no updates or accountability during the event.
“We anticipate that we are going to create over 500,000 jobs overseas,” said Labour Cabinet Secretary Alfred Mutua, adding that the government was dismantling longstanding cartels in the foreign labour market. President Ruto also noted that more than 200,000 Kenyans had already secured jobs abroad.
As Labour Day drew to a close, it was back to reality for many Kenyan workers—still grappling with stagnant wages and financial pressures, and left hoping for meaningful change in future labour reforms.
In other news:Kenyan Workers Mark Labour Day Amid Shrinking Pay and Economic Strain
Labour Day Disappointment as No Pay Rise for Workers