Teachers are facing a crisis after the Teachers Service Commission (TSC) announced that it will not be able to implement the new pay hikes following the National Treasury’s decision to cut the Sh10.3 billion allocated for the exercise.
The TSC also informed teachers that starting in December, it will not offer insurance coverage because no funds have been provided to implement the third phase of the scheme. Additionally, the commission stated it will not be able to promote and hire teachers on a permanent and pensionable basis due to the budget cuts.
Appearing before MPs in the Education committee chaired by Tinderet MP Julius Melly, TSC Chairperson Nancy Macharia expressed concern that the commission can only pay salaries for approximately 420,000 staff and teachers following the National Treasury’s directive to spend only 15 percent of their budgets.
Macharia stated, “Sh10,281,147,858 has reduced the current budget. This reduction will impact compensation of teaching service employees.”
The Sh10.3 billion was intended to implement the second phase of the 2021-2025 amended Collective Bargaining Agreement (CBA) between the commission and the teachers’ unions.
TSC Warns of Litigation and Disruption Over Unmet Pay Hike Agreement
TSC Chairperson Nancy Macharia warned that the failure to honor the pay hike agreement would damage the commission’s credibility and likely lead to litigation, as the agreement was deposited in court when signed.
Efforts by the commission to secure funds from the National Treasury have been unsuccessful, as their request letter has not received a response. Macharia stated, “When you sign a CBA, you deposit it in court.
With this situation, we shall face litigation from teachers’ unions and will be seen as acting in bad faith. We appeal to you to help us implement this CBC.”
Macharia added, “There will be significant disruption to learning in primary and post-primary institutions if we do not implement this.”
Agreement Details
In August last year, the commission and union representatives from the Kenya National Union of Teachers (KNUT), Kenya Union of Post Primary Education (KUPPET), and Kenya Union of Special Needs Education Teachers (KUSNET) signed an agreement to amend the 2021-2025 CBA to include a salary increment of up to 9.5 percent spread over two years. The original CBA did not include a monetary aspect.
Aside from the basic pay increase, the new benefits include a house allowance for teachers in cluster four, payable over two financial years.
The 2021-2025 CBA was negotiated and signed during the Covid-19 pandemic, which disrupted global supply chains and led to changes in monetary and fiscal policies.
TSC Chairperson Nancy Macharia clarified that the conversion of Junior Secondary School (JSS) teachers and the hiring of intern teachers will occur in October and January, respectively, due to insufficient funds. She regretted that while the commission was ready to recruit teachers immediately, they can only access 15 percent of their budget. The Sh1 billion allocated for teacher promotions has also been cut.
Macharia noted that P1 (Primary school) teachers will not be employed due to an overstaffing issue of over 18,000 teachers following the introduction of the Competency-Based Curriculum (CBC).
She stated, “We can only spend what we have. The money we have can only pay salaries because we can only access 15 percent of our budget. What are we to do yet we do not have a warrant from the National Treasury to spend?”
Medical Cover and Insurance
Macharia warned that the commission will not be able to provide medical cover for teachers if the proposed budget cuts stand. The three-year teachers’ medical contract, currently in its second year, is expected to cost Sh20.6 billion in its third year starting December 1.
She said, “The current allocation is inadequate to enable the Commission to meet its financial commitment for Year three of the contract. Further, there will be no group life, group personal accident, and WIBA covers for teachers due to a lack of provision.”
Following Macharia’s statements, committee members criticized the National Treasury for slashing the education sector’s budget, accusing it of setting up the government against its citizens. A representative from the National Treasury faced the committee’s anger and was directed to prepare an addendum to reinstate the funds and present it to the committee today ahead of the tabling of the estimates.