FKE to Government: Scrap Labour minimum wage increase
MONEY & CAREERS
By Dalton Nyabundi | April 5th 2017
The lowest paid employee could once again miss a salary increase this year after employers started lobbying the government to scrap the minimum wage ahead of Labour Day celebrations.
Last year, the Federation of Kenya Employers (FKE) successfully petitioned the government not to increase the minimum wage, citing tough economic times.
This year, FKE is in consultations with the Labour Ministry with the aim of developing a ‘sustainable’ wage increase policy that pegs such raises on productivity.
FKE Executive Director Jacqueline Mugo said Labour Day, on May 1, should be dedicated to reviewing how enterprises have performed and mooting the way forward, not pay hikes.
“We need sober discussions between trade unions, employers, and the ministry.
We must take into account all the factors for wage determination, including productivity, ability of our economy to create jobs, and the impact of wage increases on the ability of the informal sector to operate,” she said.
FKE is in talks with the Judiciary to have industrial relations cases heard out of court.
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