Security firms welcome new law as job-loss fears prevail

Security guards march past the dais during Labour Day at 64 Stadium in Eldoret town on May 1, 2016. Industry players say widespread unprofessionalism, corruption, underpayment of guards was threatening to collapse the sector, which is among Kenya’s largest employer. PHOTO | JARED NYATAYA | NATION MEDIA GROUP

What you need to know:

  • They say that although this law will offer much needed streamlining of the sector, the biggest losers will be the small companies as they lack enough capital to carry out the reforms.
  • Despite the growth of the private security industry, majority of the companies stand accused of paying their employees poorly as owners and managers rake in most of the profits.
  • They say that although this law will offer much needed streamlining of the sector, the biggest losers will be the small companies as they lack enough capital to carry out the reforms.

The recently signed law that is supposed to regulate the private security industry has been welcomed even as it emerged it could lead to a reduction in the number of firms rendering thousands jobless.

The law allows the Police or the Ministry of Interior at their discretion to order private security firms to assist in maintenance of law and order.

“Whenever called upon by a national security Organ, the Inspector-General of the National Police Service or the Cabinet Secretary, a private security service provider shall cooperate in the maintenance of law and order or in any other manner as may be provided for in the instrument of request,” the Act says.

But while both security guards and firms welcome the signing of the Private Security Industry Act saying it is timely, there is a fear that the strict measures introduced to regulate the registration and running of security firms could force a number of them out of jobs.

Industry players say widespread unprofessionalism, corruption, underpayment of guards was threatening to collapse the sector, which is among Kenya’s largest employer.

They say that although this law will offer much needed streamlining of the sector, the biggest losers will be the small companies as they lack enough capital to carry out the reforms.

“There are very few companies that pay their security guards more than the minimum wage and forcing them to increase their pay will make them either reduce the number of staff or close shop,” Kennedy Kipkorir, strategy Manager at Lavington Security, says.

Despite the growth of the private security industry, majority of the companies stand accused of paying their employees poorly as owners and managers rake in most of the profits.

It is not clear how many security companies exist in the country because of absence of regulation, but Mr Korir places them at not less than 2,500.

Out of these, only 30 are members of Kenya Security Industry Association (KSIA), which is self-regulating.

Only a small number of private security companies are registered, train their staff properly and pay minimum wages.

There have also been accusations of undercutting and working for long hours without holiday breaks.

BETTER MANAGEMENT

Mr Korir says the briefcase companies have been a threat to not only the industry in general but the security of the country.

“A lot of it has to do with unemployment because people are willing to work for less than the government minimum,” he says.

More than 300,000 people are employed as security guards, according to the Kenya National Private Security Workers Union Secretary-General Isaac Andabwa. 

By comparison, the police force numbers only 40,000. “The new law shall help to protect the jobs of the guards who are currently treated as trash being hired and fired at will,” he says.

Security firms shall be required to notify the Private Security Regulatory Authority of any guard they employ or fire and give reasons.

Everyone working in the industry including bodyguards will also be required to be vetted before being licensed by the authority and issued a license that will be renewed annually.

“The Authority shall issue a certificate of Issuance of a certificate of registration to all successful applicants as evidence of registration. The registration status shall remain in force for such period as may be specified therein not exceeding one year,” the Act says.

A person shall not be registered to provide private security services if he is a member of the National Intelligence Service, the disciplined services or the prisons department, it says.

The Act also prohibits anyone who has ever been charged with a criminal offence, public officers dismissed on grounds of misconduct and anyone dismissed from the disciplined forces from starting a security firm.

Experts say this will weed out criminals from the industry.

A number of robberies in premises guarded by private security have been committed with the help of those employed to watch over them, especially in the upmarket neighbourhoods.

“As investors fight to maximize profits, the industry has overtime been structured to attract the least qualified people who do not have skills for any other formal job,” James Ndun’gu, an arms control expert, says.

He adds, “If you look at the amount of money individuals or companies are spending on private security it runs into billions of shillings so it is good the government sets up the rules of the game.”