The worker’s umbrella union and their employers want their
members’ contributions to the National Social Security Fund to be
retained at Sh200.
This statement by the Central
Organization of Trade Unions (Cotu) and Federation of Kenya Employers
(FKE) comes in the wake of an announcement last week by Deputy President
William Ruto that the implementation date for the new rates will be
gazetted this week.
Cotu secretary-general Francis
Atwoli described the government determination to go ahead with the new
rates as an act of impunity.
“This is an act of
impunity which demonstrates the government’s apparent lack of interest
in talking with employers and employees. We will not accept it,” he said
on Sunday.
OLD NSSF RATES
Mr Atwoli and FKE’s executive director Jacqueline Mugo declared
that employers should continue to deduct Sh200 from their employers
until a case in court has been heard concluded.
“FKE
has advised all employers to continue remitting the old NSSF rates until
the courts give a ruling on the matter,” she said in a statement.
In
June last year, the Industrial Court suspended sections of the NSSF Act
No. 45 that had proposed the new rates following a petition by the
trade unions and employers.
The new rates required
members contribute more, with both workers and their employers
contributing six percent of employees’ gross salaries to the pension
fund.
Ms Mugo said that by ignoring the court’s
decision, the government was making it difficult for employers to
exercise their right to opt out of the revised NSSF rates.
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