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{
"id": 1562655,
"url": "https://info.mzalendo.com/api/v0.1/hansard/entries/1562655/?format=api",
"text_counter": 94,
"type": "speech",
"speaker_name": "Hon. Julius Migos Ogamba",
"speaker_title": "The Cabinet Secretary for Education",
"speaker": null,
"content": "Regarding the retirement benefits and the remittance of statutory and third-party deductions, TUK has undertaken to do the following- The TUK Staff Retirement Benefits Scheme, originally established in 2009 and registered on 12th November, 2013, was wound up by the court on 5th July, 2024. In the aftermath, TUK has engaged the Retirement Benefits Authority (RBA), the unions, that is University Academic Staff Union (UASU), Kenya University Union (KUSU) and Kenya Union of Domestic, Hotels, Educational Institutions, Hospitals and Allied Workers (KUDHEIA), and the Receiver-Manager Liquidator with a key meeting held on 30th January, 2025 and a follow-up scheduled for 21st May, 2025 on the liquidation process. TUK has also undertaken to provide funds over the financial years 2025/2026 all the way to 2030 to settle outstanding liabilities of the wound-up TUK Staff Retirement Benefits Scheme in line with the overall recovery strategy. TUK has also requested the Retirement Benefits Authority to give the authority to establish a new Retirement Benefits Scheme since the old one was wound up. That would ensure that the future financial deductions have a place to be utilized and for members who retire to get their benefits. Mr. Speaker, Sir, to the second part of that Question, the Government is committed to bailing out the Technical University of Kenya. Mr. Speaker, Sir, the Government is committed to bailing out the TUK from the financial crisis. As I have indicated, it started from day one. The Government is committed to providing a net payroll support of Kshs145 million as I have indicated for the period from January 2025 to 30th June, 2025. Thereafter, the support will be anchored in the budget of financial year 2025/2026, all the way to financial year 2031/2032. This will cover gross salaries and enable the timely remittance of statutory reductions. Part three of that question is with regard to the university sub-sector. As we all know, it has faced various challenges in recent times, largely occasioned by financial difficulties leading to a number of them being declared technically insolvent. Indeed, as you would recall, the University's Academic Staff Union (UASU) and the Kenya University Staff Union (KUSU) issued strike notices in September and wanted to proceed to an actual strike in October. The main issues that were raised were non-implementation of their financial year 2020/2021 Collective Bargaining Agreements (CBA) and the delay in the conclusion of its full implementation during the financial year 2021/2025. Key issues included the demand for basic salary increments by between seven to 14 per cent, the harmonisation of allowances across universities and the provision of car and mortgage scheme loans. Following negotiations, the parties under the leadership of the Ministry of Education came up with a return-to-work formula, which was signed on the 26th September, 2024. The key terms and provisions of the return-to-work formula include the following: The salary adjustments, the last two years of the financial year 2021/2025 CBA cycle, effective 1st July, 2023 and 30th June, 2025. It was agreed that for Grades 13, 14 and 15, a seven per cent salary increment. For Grades 10, 11 and 12, it was a 10 per cent salary increment. The electronic version of the Senate Hansard Report is for information purposesonly. A certified version of this Report can be obtained from the Director, Hansard and AudioServices, Senate."
}