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Home » News » Mandatory deductions for Kenyans in diaspora

Mandatory deductions for Kenyans in diaspora

Last updated: September 8, 2023 1:14 pm
3 years ago
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In a bid to cater to the needs of Kenyan migrant workers abroad, the government has proposed new mandatory deductions for Kenyans working abroad. The compulsory deductions from their earnings will contribute to the Kenya Migrant Workers Welfare Fund.

According to the Ministry of Labour proposals, all Kenyan citizens employed abroad will be automatically enrolled in this Fund. This will ensure that the government can monitor and attend to their requirements effectively.

The Ministry asserts that this Fund will serve as a safety net for workers, offering financial relief in situations such as medical emergencies and when they find themselves stranded overseas.

In cases where the primary contributor passes away, the families of migrant workers will also be eligible to receive support from the Fund.

The precise deduction amount has not yet been determined by the government. However, the legislation that will establish the Fund is expected to be made public in the coming days.

It is worth noting that in March, Cabinet Secretary Florence Bore revealed that plans for the Fund were well underway.

Safeguarding the rights of migrant workers

The government’s goal is to address the various challenges faced by Kenyan migrant workers, a population that has grown to over four million.

CS Bore emphasized that these reforms will play a crucial role in streamlining the sector and ensuring the well-being of Kenyan migrants abroad.

Diana Chepkemoi who was stranded in Saudi Arabia is reunited with her family

The establishment of the Fund aligns with the Labor Migration Policy 2023, which was approved by the Cabinet earlier this year.

“Kenya is working towards the establishment of the Kenya Migrant Workers’ Welfare Fund. The fund will provide migrant workers with the necessary social protection,”  CS Bore stated during the 2nd IGAD Ministerial Conference on Labour, Employment, and Labour Migration in Addis Ababa, Ethiopia.

She also explained that the overarching aim of the Labour Migration Policy of 2023 is to enhance governance in labor migration and safeguard the rights of migrant workers and their families.

“The policy aims to promote good governance in labour migration, protect migrant workers, promote their welfare and that of their families. It will also optimize labour migration benefits in development,” 

Historically, Kenyan migrant workers have faced challenges such as health-related issues and mistreatment by their employers, particularly in the Gulf region. This has often resulted in the need for financial contributions from relatives back home to bring the affected workers back to Kenya.

Foreign remittance

With these new proposals, the government also aims to build a substantial fund, potentially amounting to billions of Kenyan shillings, given the consistent monthly remittances from Kenyan workers abroad.

As of July, the Central Bank of Kenya (CBK) estimated that Kenyan expatriates had sent back over Ksh350 billion in 2023 alone. This highlights the significance of this initiative for the welfare of Kenyan migrants and their families.

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