The Controller of Budget Margaret Nyakang’o has made public how the Teachers Service Commission spent Sh206 billion on compensation to employees in first nine months of the current financial year to become the highest spender among government ministries, departments and agencies.
This comes after teachers threatened to paralyse learning should TSC fail to make way for signing of a new Collective Bargaining Agreement (CBA).
Kuppet has issued a seven day strike notice.
Misori said for the past two years since they began talks on the new CBA, the teachers’ employer has consistently ignored their attempts to have structured talks.
“As a union, we have diligently discharged our obligation under the Labour Relations Act, but the government has been dragging its feet for more than a year,” said Akello Misori, the Kuppet secretary general.
An analysis by Controller of Budget on recurrent expenditure shows a total of Sh354.45 billion was spent by government ministries, departments and agencies.
According to a report by Margaret Nyakang’o on National Government Budget Implementation Review for financial year 2020-21, compensation to teachers stood at 57.3 percent of total expenditure on payouts to employees by the national government.
The report is an analysis of the first nine months of the current financial year.
Nyakang’o attributed TSC’s spending to the fact that the bulk of its budget if for teachers salaries.
“The Teachers Service Commission recorded the highest expenditure on compensation to employees at Sh206 billion, translating to 57.3 per cent of total expenditure on compensation to employees by the national government,” Nyakang’o said.
In April National Treasury Cabinet Secretary Ukur Yatani wrote to the Salaries and Remuneration Commission (SRC) that his ministry will not release close to Sh83 billion in salary increment that the State owes civil servants and teachers.
In a letter dated March 18 and addressed to Anne Gitau, the Commission Secretary at SRC, Yatani attributed this to budgetary constraints due to the upcoming General Election and the adverse effects of the Covid-19 pandemic.
Teachers unions protested the decision. Through their labour unions, teachers and civil servants threatened to down their tools should the government not honour the various collective bargaining agreements (CBAs) it struck with them.
The implementation of the new CBA is supposed to begin on July 1, 2021
The released report is in line with Article 228 of the Constitution of Kenya and Section 9 of the Controller of Budget Act, 2016, which requires the CoB to submit to Parliament quarterly budget implementation reports for the national and county governments every four months.
It showed that capital transfers to semi-autonomous government agencies (SAGAs) were the highest at Sh183.84 billion representing 54.9 per cent of the gross development budget.
“Construction of non-residential buildings at Sh19.68 billion representing 5.9 per cent of the gross development expenditure,” she noted.
Nyakang’o said some budget items recorded low levels of expenditure during the period under review, something she attributed to the impact of Covid-19 mitigation measures adopted by the government to curb the spread of the disease.
“Those affected were travelling, training and hospitality activities which are some of the major spending budget items by the MDAs,” she said.
During the review period, total expenditure by the national government amounted to Sh1.83 trillion, representing 60.0 per cent of the revised gross estimates.
“This comprised of development, recurrent expenditure and CFS expenditure of Sh334.54 billion (48.0 per cent of revised gross development estimates), Sh815.79 billion (64 per cent of revised gross recurrent estimates) and Sh.676.67 billion (63.0 per cent of revised gross estimates) respectively,” the report says.
“Gross development expenditure was higher than exchequer issues due to appropriations-in-aid realised in funding some of the expenditures.”