Ruto Orders Sweeping Pay Rise as Workers Win 12% Wage Boost – But Employers Sound Alarm
President William Ruto has announced a nationwide minimum wage increase of 12 per cent, alongside a higher 15 per cent adjustment for agricultural workers, in a move set to impact millions of Kenyans.
The directive, unveiled during this year’s Labour Day celebrations in Vihiga County, follows sustained pressure from labour unions over the rising cost of living.
Addressing a packed gathering, President Ruto declared: “I am pleased to announce a 12 per cent increase in general wages and a 15 per cent increase in agricultural wages to all Kenyan workers.”
The Head of State framed the pay rise as a necessary intervention to cushion workers against surging costs of essential goods, including food, fuel and housing. The increase is expected to apply broadly across sectors, with the higher adjustment specifically targeting farm workers—one of the country’s most vulnerable labour groups.
The push for higher wages has been led by the Central Organisation of Trade Unions (COTU), whose Secretary-General Francis Atwoli has repeatedly warned that stagnant wages were leaving workers unable to cope with economic pressures.
However, the announcement has drawn concern from employers. The Federation of Kenya Employers (FKE) cautioned that the wage increase could strain businesses already grappling with high operational costs.
Speaking ahead of the announcement, FKE Chief Executive Jacqueline Mugo said: “Businesses are struggling, and we will be appealing to the government to balance the interests of businesses and the interests of employees.”
She noted that the last minimum wage review took place two years ago, but warned that many firms—particularly small and medium enterprises—are still recovering from recent economic shocks, with some undergoing restructuring or closure.
Despite the concerns, President Ruto insisted the government would work closely with stakeholders, including COTU, FKE and the Ministry of Labour, to ensure the changes are implemented effectively while safeguarding both workers and employers.
He further reaffirmed the administration’s commitment to strengthening labour protections, stating that all workers would continue to benefit from full legal safeguards under Kenyan law.
In a related development, the President revealed progress in aligning Kenya’s labour framework with international standards. He confirmed that the National Labour Board has finalised the adoption of key conventions by the International Labour Organization, including those addressing decent work for domestic workers and the elimination of workplace violence and harassment.
Also Read: Omanga Removed from Kenya Shipyards Board in Latest Government Changes