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How SHA, housing levy squeeze triggered breach of one-third pay rule
Auditor General Nancy Gathungu making a presentation during the 8th Public Finance Management (PFM) Conference on November 5, 2025, at the Grand Royal Swiss Hotel, Kisumu.
The net pay of thousands of State workers has fallen below one-third of their basic salary following higher mandatory deductions for healthcare, retirement, and housing, leaving employers in breach of the law on minimum take-home pay.
Disclosures from various State employers, including National Police Service (NPS) and Teachers Service Commission (TSC), show that the introduction of a 1.5 percent housing levy, 2.75 percent to Social Health Authority (SHA) and higher deductions towards National Social Security Fund have cut net pay, placing thousands of workers under financial pressure.
