Kenya marked its 60th Labour Day celebrations on Wednesday with the announcement of key reforms aimed at improving the welfare of workers and enhancing economic self-reliance.
Speaking at Uhuru Gardens in Nairobi County, President William Ruto emphasized the government’s commitment to strengthening the country’s economy by supporting local enterprises and empowering the workforce.
“We are taking bold and measurable steps to make Kenya truly self-reliant by growing the economy, supporting enterprises, and uplifting workers,” he said.
One of the major reforms unveiled is the immediate application of tax reliefs and exemptions during the calculation of Pay As You Earn (PAYE). This change will ensure that employees benefit from tax reliefs without unnecessary delays, effectively boosting their take-home pay.
In another significant policy shift, the President announced that all pension and gratuity payments, both in the public and private sectors, will now be tax-exempt. This move is seen as a recognition of retirees’ contributions and a step toward preserving their dignity in retirement.
“These reforms are not just about economics, they are about fairness and honoring the hard work of our citizens,” the President noted.
The celebrations, which drew thousands of workers, union representatives, and government officials, served as a platform to reflect on the milestones of Kenya’s labor movement and the resilience of the workforce.
President Ruto also lauded Kenyan workers for their role in driving the nation’s development, noting that their efforts have helped position Kenya as the sixth-largest economy in Africa.
“We deeply appreciate the invaluable contribution of Kenyan workers. Your resilience and hard work have shaped the trajectory of our nation,” he said.
The Labour Day celebrations concluded with calls for continued collaboration between the government, employers, and labor unions to ensure that future reforms address the evolving needs of the workforce.