Cash delay to affect civil service salaries
Treasury Cabinet Secretary Henry Rotich during the signing of bilateral agreements with Korea at the National Treasury on July 8, 2014. PHOTO | DIANA NGILA | NATION
What you need to know:
- The Central Bank had been instructed by Treasury to form new accounts after votes were split in ministries with more than one Principal Secretary.
- Among the worst hit ministries are those of Education where money meant for free education has not been released and that of Agriculture which has three PSs.
Government operations at different departments have stalled due to lack of money.
The money delayed to be deposited in the accounts of different ministries following Central bank’s failure to set up new accounts for departments on time .
It is now feared that salaries for civil servants may not be paid on time.
THursday, the Federation of Kenya Public Service Unions of Kenya (Pusetu) said the union’s members will down their tools if salaries will not have been deposited to their accounts by Monday.
“How do you expect civil servants to survive without money? It is unacceptable,” Pusetu Chairman Tom Odege told Nation.
NEW ACCOUNTS
He asked the government to speedily ensure that members are paid by Friday so as to pay domestic bills over the weekend.
The Central Bank had been instructed by Treasury to form new accounts after votes were split in ministries with more than one Principal Secretary.
Among the worst hit ministries are those of Education where money meant for free education has not been released and that of Agriculture which has three PSs.
Thursday, Treasury Cabinet Secretary Henry Rotich said the delay was occasioned by technical issues that arose as a result of accounts opening.
Unlike in the last financial year where each ministry had one principal secretary being the accounting officer for all departments, this year, all PSs were made accounting officers.
“But that should not worry anybody, only ministries with more than one PS have been affected,” he said.
Operations within different ministries have stalled, two months after the Budget.
Civil servants receive salaries before 25th.
