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Atwoli: Base salary deductions on net pay, not gross
Central Organization of Trade Unions (COTU) boss Francis Atwoli has called on the government to revise its approach to statutory salary deductions, saying they should be based on workers’ net pay rather than gross income.
Mr Atwoli said the current deduction model is punitive and burdens workers who are already grappling with high cost of living.
“We are saying deductions should be on net pay, not on gross. You cannot tax a worker on money that never reaches their pocket,” said Mr Atwoli in his address during the Labour Day celebrations held at Uhuru Gardens in Langata, Nairobi, on Wednesday.
“The cost of living in this country is around 45 percent higher — this is too much for workers. The government must ensure they are properly compensated.”
He took issue with the housing levy and other statutory deductions, arguing that they were eating into workers’ already strained earnings.
Workers are deducted 1.5 per cent of their gross salary, uncapped, for the affordable housing levy.
Mr Atwoli urged President William Ruto to listen to workers' grievances and ease their financial burden.
“The cost of living is unbearable. Workers are overtaxed and many are living from hand to mouth. We cannot continue this way.”
The trade unionist also criticised the exploitation of workers through outsourcing and casualisation, saying it undermines job security and decent work.
“Jobs today are no longer earned through merit but taken through the back door — through influence and corruption. This exploitation must end,” he said.
Mr Atwoli further emphasised the need to uphold the dignity of women in the workforce.
“Women deserve dignity and livelihoods. Empowering them is not charity — it is justice,” he said.
He also called for dialogue between the government and labour unions to address growing discontent among workers.
“Let’s stop dismissing workers’ concerns on social media. We want meaningful engagement and real solutions,” he said.