Margaret Nyakang’o, the CoB, says the office asked the Treasury for Sh26.54 million for the retirement payments but got Sh10.56 million instead.
Retiring workers of the Controller of Budget (CoB) in July will have to wait longer for their benefits due to budget constraints.
Margaret Nyakang’o, the CoB, says the office asked the Treasury for Sh26.54 million for the retirement payments but got Sh10.56 million instead.
“We feel that there are areas that we have been unfairly treated. The Sh26.5 million was for gratuity because we have senior management staff on three-year contracts leaving in the coming year,” Ms Nyakang’o told the finance and planning committee of Parliament. “I’m worried,” Mrs Nyakang’o told the committee chaired by Joseph Limo on Wednesday.
Treasury officials who appeared before the committee asked the CoB to squeeze other departmental allocations to free up funds for the pensions payment.
The Treasury had allocated Sh10.56 million to CoB for the purpose in 2019/20.
More than 50,000 public servants have retired between March 2018 and September last year with a further 10,300 set to exit before the end of the current financial year in June.
Civil servants do not contribute to their pensions and other benefits that are in turn funded through taxes in what has pushed up the pension payments burden.
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