Former cabinet secretaries and Attorney General Justin Muturi who were fired by President Ruto to receive 54 million as gratuity which may hurt taxpayers.

State officers are governed by the Salaries and Remuneration Commissions’ regulations, which stipulate that they are entitled to a gratuity equal to 31% of their base pay for each year of service. This amount is taxable at a rate of 30%.

The base salary for each CS and the AG during their first year of office, which ran from November 2022 to June 2023, was Ksh554,400 for a total of eight months.

State officers received a wage increase in the second fiscal year, which ran from July 2023 to June 2024, as a result of the SRC’s gazette, which increased the base pay to Ksh 574,000.

This indicates that after deducting Ksh 640,000 in taxes from the gross pay, the gratuity that is taxable for a year is Ksh 1.49 million.

There would be a total of Ksh 54 million used for the 22 former state appointees, with Ksh 2.4 million going to the fired officials in this regard.

Quite informative piece. Let me ask lawyers in the house @EAukot @ahmednasirlaw @skhillary @otienowill
Do CS qualify for gratuity when they are dismissed or sacked? pic.twitter.com/oDlPtlxO1Y

— PAUL O 🇰🇪🇻🇦🇻🇪 (@JAKADAWA) July 11, 2024

After speaking with Kenyans and reviewing what they had accomplished, Ruto announced that he had disbanded his Cabinet.

“Upon reflection, listening keenly to what the people of Kenya have said and after a holistic appraisal of the performance of my Cabinet and its achievements and challenges, I have, in line with the powers given to me by Article 152(1) and 152(5)(b) of the Constitution and Section 12 of the Office of the Attorney-General Act, decided to dismiss with immediate effect all the Cabinet Secretaries and the Attorney-General from the Cabinet of the Republic of Kenya except the Prime Cabinet Secretary and Cabinet Secretary for Foreign and Diaspora Affairs,” said Ruto.

Ruto had earlier ordered the National Treasury to examine the state officers’ proposed pay increase. In view of the Finance Bill 2024’s withdrawal and the anticipated budgetary restrictions, the head of state made the decision.

Also Read; “Mungu Sio Kamau” Reactions As Ruto Sends Cabinet Secretaries Packing