The Salaries and Remuneration Commission (SRC) has announced a freeze on salary reviews for all public officers, excluding State officers, for the 2024/2025 financial year.

The decision, effective immediately, is a direct consequence of the government’s tight fiscal position following the withdrawal of the Finance Bill, 2024.

In a statement issued on Thursday, the SRC cited the absence of allocated funds for implementing the proposed remuneration and benefits adjustments as the primary reason for the suspension.

"As a consequence of the emerging fiscal constraints and budget cuts emanating from the withdrawal of the Finance Bill, 2024, the Salaries and Remuneration Commission (SRC) has deferred the implementation of the salary review for all other public officers in the financial year 2024/2025 until further notice, contingent upon the availability of funding," SRC stated.

Read More

  1. KRA invites public to give its voice on sweeping income tax reforms for 2024
  2. CBK announces release of new currency banknotes with enhanced features
  3. National Treasury denies owing counties as governors warn of service disruptions

The commission emphasised its commitment to fiscal responsibility, aligning its decision with the constitutional principle of ensuring the public compensation bill remains sustainable.

"This decision was reached in close consultation with the National Treasury," the SRC stated.

"We recognise the challenges posed by the current economic climate and the need to prioritise public expenditure."

While the freeze is in effect, the SRC has clarified that annual salary notch adjustments within existing pay structures will continue, subject to budgetary constraints.

However, no additional funding will be provided for implementing job evaluation outcomes during this financial year.

Public service institutions with existing Collective Bargaining Agreements (CBAs) that are affected by the salary review suspension are advised to engage with their respective trade unions to address the implications.

The SRC has indicated that the situation will be monitored closely, with a potential review contingent upon increased funding as determined by the National Treasury.

It is worth noting that on 3 July 2024, the SRC, in collaboration with the National Treasury, implemented a similar freeze on salary reviews for all State officers.

This decision was attributed to economic realities, budget cuts, and the need to maintain a sustainable public wage bill.