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Parastatal chiefs' pay under scrutiny amid impending cuts

14 March 2014, 10:44

Nairobi - The State Corporations Advisory Committee is now collating of gross salaries of Chief Executive Officers and senior employees of all state corporations days after calls from government for the officials to emulate President Uhuru Kenyatta and take pay cuts.

President Kenyatta and his deputy, William Ruto, were earlier this week quoted as urging the senior staff at state entities to take pay cuts to address the ballooning wage bill or lose their jobs.

In a letter addressed to all CEOs of all state corporations, the Secretary of the States Corporation Advisory Committee wrote, “Please note that you are required to submit the payroll data for the chief executive officers and the next four top grades for the month of February 2014.”

The letter, which was dated March 13, stated that the information should be availed immediately but in any case not later than close of business on Friday.

The pay details requested by the committee included designation, grade, salary, allowances and gross pay.

The letter, which was exclusively obtained by CAJ News, comes just three days after the executive gave a decree to all state corporations’ CEOs to either take the cut or opt out of their positions.

With civil servants salaries a fortnight away it remains to be seen how these would be paid.

The State Corporations Advisory Committee was established under the State Corporations Act (CAP 446) of the Constitution of Kenya.

Its functions are to review and investigate the affairs of state corporations and make such recommendations to the President as it may deem necessary and to give advice on dissolution of state corporations, among others.

The Wage Bill public dialogue is in progress and once the debate has gone around the country, a Wage Bill policy is expected to be developed.

– CAJ News

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