Deputy President William Ruto says the Government will engage teachers over the 1.5% tax to finance its low cost housing scheme.

This comes amid growing disquiet over the plan that is set to take effect beginning next month.

Ruto says the push for affordable housing is part of the government’s plans to boost the living standards of every Kenyan.

The provision is contained in the finance Act 2018 and proposes a 1.5 per cent mandatory levy on a worker’s gross salary with a monthly maximum deduction of 2,500 for individuals earning a basic salary of 166,000 shillings and above.

Get breaking news on your Mobile as-it-happens. SMS ‘NEWS’ to 22163

Employers will also be required to pay a similar amount for every employee to the National Housing Development Fund.

The newly introduced levy has however left a bitter taste in the mouths of those set to be affected with the Kenya Union of Post-Primary Education Teachers expressing concern during the annual delegate’s conference.

Speaking during the conference, Ruto called for calm saying the Government will engage teachers ion the same and agree on way forward.


He said they hope the same will be reciprocated with good faith and willingness to compromise.

Ruto said the government is pushing for the implementation of the Big Four agenda, under which affordable housing falls, so as to transform the country and boost the living standards of all Kenyans.

This even as he said that the government has implemented a raft of reforms to aimed at transforming the education sector.

Kuppet Secretary General Akello Misori however questioned some policy decisions effected by the government.


Tell Us What You Think