Our President Uhuru Kenyatta has issued an ultimatum to parastatal chiefs to either take a 20 per cent cut in salary or resign. This is aimed at managing the overwhelming public sector wage bill that is out of control. The President boldly and with ultimate authority told those not comfortable with reduced pay to quit office, adding that the Government was ready to fire and pay a severance package to any parastatal chief not willing to take a pay cut. According to the treasury, the amount of money paid as salaries and allowances to Government employees has doubled over the last five years to about Sh500 billion this financial year from Sh240 billion in the 2008/2009 financial year. The pay cuts, which are to be affected immediately, are likely to be cascaded to middle-tier and eventually low-cadre civil servants in a move that was set in motion last week.On further contrast, County governments have worsened the country’s public wage crisis, eroding gains that were expected to be reaped from devolution. The move by counties to haphazardly employ additional staff yet others were seconded from national government is among ways the regions have fuelled the public wage crisis. This came out Monday at the National Debate on Public Wage Bill Sustainability forum held in Nairobi. President Uhuru Kenyatta was among the first to fault county administrations.The President said that the devolved units seem to have inherited the tradition of inflated wage bills, eating into resources meant for development projects in counties. He added that there was need to streamline the management of salaries at all levels of Government.Some of the employees inherited from the defunct local authorities are said to be earning more than those in national government, despite having similar qualifications.
