Kenyans to shoulder more costs as Ruto creates 7 new PS positions

With President William Ruto nominating new Principal Secretaries (PS) on Thursday, critics have raised concerns about the growing size of the Kenya Kwanza government and the heavy cost it places on taxpayers.

Ruto’s move has resulted in the creation of seven new State Departments.

The first of these is the State Department for Public Investments and Assets Management, which falls under the Ministry of National Treasury and Economic Planning. Cyrell Wagunda Odede has been nominated to head the department.

The second is the State Department for National Government Co-ordination, which is under the Office of the Prime Cabinet Secretary. Ahmed Abdisalan Ibrahim has been recommended to lead it.

The State Department for Justice, Human Rights, and Constitutional Affairs has also been established, in the Office of the Attorney General, with Judith Pareno as the nominee to take charge.

Additionally, the State Department for Science, Research, and Innovation has been formed within the Ministry of Education, a ministry that previously had three separate departments. The nominee for this new department is Abdulrazak Shaukut.

A State Department for Aviation and Aerospace Development has also been created within the Ministry of Roads and Transport. Teresiah Mbaika has been nominated to lead it.

Another addition is the State Department for Special Programmes, which will be based at the Public Service Ministry. Ismael Madey has been nominated to head it.

Finally, the State Department for Children Welfare Services has been established within the Ministry of Labour and Social Protection, with Carren Ageng'o Achieng as the nominee.

The cost of hiring a PS is substantial, far beyond just a basic salary. According to the Salaries and Remuneration Commission (SRC), a PS earns a gross monthly salary of Ksh.792,519, translating to an annual salary of Ksh.9,510,228.

In addition to their salary, PSs in certain departments, like the Ministry of Interior, National Treasury, and Foreign Affairs, receive a responsibility allowance of Ksh.100,000 per month, which adds another Ksh.1.2 million to their yearly earnings.

But the costs don’t end with the salary and allowances. PSs are also entitled to several benefits that significantly increase the financial burden on taxpayers. Each PS is provided with an official car, usually up to 3,000 cc, which incurs additional costs for maintenance and operation.

They also receive a generous medical package, which includes Ksh.10 million for inpatient care. Outpatient services and maternity coverage add to the total cost, though these vary depending on individual needs.

Further, the government provides group life insurance for PSs, which is equivalent to three times their basic salary. For instance, a PS earning Ksh.792,519 per month would have life insurance coverage worth Ksh.2.3 million annually.

PSs also enjoy favorable loan packages, including a car loan of up to Ksh.8 million and a mortgage of up to Ksh.35 million, both at a privileged interest rate of just 3%. These loans are repayable during their tenure in office, adding another layer of financial responsibility to the government.

When a PS’s term ends, they have the option of receiving a pension or a gratuity. The gratuity is a substantial 31% of their annual salary, which can amount to millions of shillings. For example, a PS with an annual salary of Ksh.10,710,228 would be entitled to a gratuity of Ksh.3.3 million, a significant sum that further adds to the cost of each appointment.

Taking all these factors into account, the total cost of hiring a single PS for one year easily exceeds Ksh. 15 million, factoring in salary, allowances, benefits, insurance, and retirement packages.

With 51 PS’s currently in place, the total cost of hiring them for a year, amounts to approximately Ksh.765 million, a heavy burden for a country where many public services continue to struggle with underfunding.