Bill gives Kibaki, PM hefty send-off perks

President Kibaki and Prime Minister Raila Odinga are among the top State officials poised to get a total of Sh50 million lump sum payout as soon as they leave office if two new Bills are passed into law.

Others to benefit from the payout are Vice-President Kalonzo Musyoka, House Speaker Kenneth Marende, Deputy Speaker Farah Maalim and the two Deputy Prime Ministers Musalia Mudavadi and Uhuru Kenyatta.

Under the terms of the golden handshake proposed in the two Bills, the officials’ children will be paid up to half the benefits until they reach 24 years in the event their parents die.

In some cases, the taxpayer will foot the bill of the child for the rest of that child’s life.

The officials will also be eligible for a monthly pension at 80 per cent of their current monthly salaries for the rest of their lives.

In addition, they will be entitled to a house, entertainment, fuel, and utilities allowances, computed as a fraction of their current salary, for the rest of their lives.

When they die, they will get a State burial.

The Presidential Retirement Benefits (Amendment) Bill 2012 and the Retirement Benefits (Deputy President and Designated State Officers) Bill, 2012 were published by Finance Minister Njeru Githae on Wednesday.

The second Bill provides for the retirement package for the Deputy President, the Chief Justice and his deputy, the Attorney-General, the Chief of Defence Forces, and the Speakers of the Senate and National Assembly plus their deputies.

President Kibaki will go home with the lion’s share — Sh25.2 million — having served as Head of State for two terms after he was sworn in on December 30, 2002. This is because the President takes home a salary of Sh700,000 every month and Sh1.34 million in allowances. His total monthly income is Sh2 million.

This year’s budget shows that President Kibaki has an annual salary of Sh8.4 million and Sh16.1 in allowances every year. The President has earned this money since 2002. The same budget shows that the Treasury had earmarked Sh50 million for the President’s gratuity for the financial year 2012-2013.

He rejected a 2006 resolution of Parliament that increased his monthly salary from Sh700,000 to Sh2 million.

The MPs had maintained the allowances at Sh1.2 million.

This time around Mr Githae wants the President’s benefits calculated at between 15 per cent and 80 per cent of his salary.

The minister wants a maximum of six security guards, and the number of cooks, gardeners, house keepers, laundry persons, all doubled from two per category, to four per category.

The minister has also proposed a diplomatic passport for President Kibaki and First Lady Lucy Kibaki in retirement.

Mr Odinga, Mr Musyoka and Mr Marende will each take home Sh5.4 million while Mr Maalim will get a lumpsum payout of Sh3.6 million. Mr Odinga, Mr Musyoka and Mr Marende have an annual salary of Sh3.6 million.

They also get huge perks from their special responsibilities as state officers and as MPs.

Whether Mr Musyoka or Mr Odinga lose or get elected in the March 4, 2013 General Election, they will still get paid. 

The same applies to Mr Mudavadi and Mr Kenyatta. The Bill notes that this is because the positions of PM, DPM and VP will become untenable after the next elections.

The Retirement Benefits (Deputy President and Designated State Officers) Bill, also prescribes that even after serving for one term, they will have their gratuity calculated at 31 per cent of the annual salary for every year worked.