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Firms feel pinch of rising cost of guards
Security guards march past during this year’s Labour Day celebrations held at 64 Stadium in Eldoret town. Photo/JARED NYATAYA
Local businesses have been pushed into a tight corner as they are now forced to pay more for security guards in line with President Uhuru Kenyatta’s directive on minimum wages.
The Business Daily has established that all private security firms in the country have since raised their rates for guarding services to match the increase in their employee’s salaries.
The Kenya Security Industry Association (KSIA) chairman, Tony Sahni says while the move will hurt businesses, security firms had little choice prompting an upward review of rates.
“To avoid running out of business we had to adjust our rates to be in tandem with what we are currently paying our guards,” Mr Sahni told the Business Daily in a telephone interview.
Mr Sahni, who doubles as the managing director of Securex Ltd said the firm was now charging Sh34, 000 up from Sh30, 000 per month for a guard.
The security firm said in the new scheme, a guard is entitled to a gross salary of Sh20, 000 a climb from the previous Sh17, 000.
On the other hand G4S Kenya is charging Sh31, 000 up from Sh29, 000. This is, however, subject to the premium attached to the service, according to David Onderi, an officer at the department.
Mr Shah expressed his fears that the pay increase could push small businesses into recruiting informal guards with unproven records.
“These Jua Kali guards are most often lured to crime to supplement their low pay,” he said.
The Federation of Kenyan Employers Executive Director, Jacqueline Mugo, equally faulted the upward review warning it could spiral into run-away inflation where firms pass the costs on to the consumers.
