National Social Security Fund (NSSF) has asked employers to comply with the new mandate that requires them to submit kshs 2160 by the ninth of every month from the monthly amount of ksh 200.
This Act took effect after the high court found that the increased allowance was legal and that nothing could stop the government from implementing it. Appeal Court judges Hannah Okwengu, Mohamed Warsame, and John Mativo heard the case.
In the ruling, the judges say that they judge state in their decision that they believe the Employment and Labour Relations Court (ELRC) erred in declaring the Act unconstitutional because it lacked jurisdiction to question the law's validity.
Nduma Nderi, Hellen Wasilwa, and Monica Mbaru, labour court judges, declared the government's plans to implement the increase unconstitutional in September of last year.
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Their ruling stated that the issue of jurisdiction should not be influenced by sympathy for the case of one of the parties but must base its decision on the law. The bench should have recognized that a claim challenging the constitutionality of a statutory provision falls outside of their purview.
The court's decision is a significant boost for the rutos administration as he advocated for higher contributions to the national social security plan. Ruto is keen on raising funds internally other than borrowing, which he says is crippling the economy. The opposition leader opposed this, claiming that increased NSSF deductions would exacerbate Kenyans' economic hardship.
In response to Raila's claims, Ruto wants to inform those in the opposition who are opposed to our plans that there are no two ways about the [planned NSSF deductions] increase. They (the opposition) have been requesting that we borrow [funds] from outside sources, but his government needs to prepare to do so. president ruto William is vocal about every Kenyan paying their fair share of taxes.