MPs now want Sh2.4bn ‘severance perks’ at end of term

Treasury secretary Henry Rotich. PHOTO | FILE

What you need to know:

  • The lawmakers have been exerting pressure on the Treasury to pay them for the eight months which were shaved off their five-year term.
  • The PSC is yet to table its budget two weeks after Treasury Cabinet secretary Henry Rotich tabled the national budget.
  • The PSC is seeking Sh410 million and a further Sh1.99 billion to pay 68 Senators and 350 members of the National Assembly.

MPs will receive a Sh2.4 billion “severance allowance” at the end of their term in August if the Treasury and the (SRC) bow to pressure from the legislator’s, a new report  shows.

The money will be shared between the 418-member bicameral Parliament should the Treasury succumb to pressure from the Parliamentary Service Commission (PSC), the MPs’ employer.

The lawmakers have been exerting pressure on the Treasury to pay them for the eight months which were shaved off their five-year term by the delay in holding the 2013 General Election.

Their full five-year mandate would have come to an end in March 2018.

The PSC is yet to table its budget two weeks after Treasury Cabinet secretary Henry Rotich tabled the national budget. The Judiciary has also presented its estimates for 2017/18.

Traditionally, the Parliament and Judiciary present their respective budgets to the National Assembly on or before the day the Treasury tables the annual estimates of the national government.

The PSC is seeking Sh410 million and a further Sh1.99 billion to pay 68 Senators and 350 members of the National Assembly, including the two Speakers what it calls “severance allowance”. This means that each of the 68 senators will take home Sh3.7 million in severance pay while the 350 lawmakers in the National Assembly will pocket Sh5.68 million.

The extra benefits is over and above the Sh2.4 billion and Sh438 million that has been allocated to MPs and Senators respectively for gratuity payments in line with the Constitution.

SRC chairperson Sarah Serem and Mr Rotich have not committed themselves to the MPs demands saying the High Court had stopped payment of the allowance.

The report of the Budget and Appropriations Committee (BAC) lifts the veil on what transpired behind the scenes a fortnight ago during a closed door session that the PSC, SRC and the Treasury held in pursuit of higher perks for MPs.

The PSC, according to the report authored by the Mutava Musyimi-led BAC, wants the budget for Parliament increased to Sh45.7 billion from Sh36 billion that the Treasury has set as the maximum ceiling for the year to June 2018.

The PSC is proposing to utilise Sh4.15 billion for development, Sh13.74 billion and Sh27.78 for recurrent expenditure under the Senate vote and National Assembly budget respectively.

“The Sh9.7 billion (Sh45.7 billion-Sh36 billion) shall be used to cater for the one-off expenditures in the 12th Parliament,” said the PSC in submissions to BAC, which reviewed the Supplementary Budget Estimates I.

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