Azimio MPs demand refund of January housing levy
Leader of Minority in the National Assembly Opiyo Wandayi during an interview at his offices at Parliament buildings in Nairobi on January 9, 2024.
What you need to know:
- Nation understands each lawmaker pays Sh19000, which is the equivalent of a 1.5% slash, each month.
- The High Court had ruled that the 1.5 percent housing levy was unconstitutional because it was introduced without a legal framework
The Minority Leadership in the National Assembly has petitioned the Parliamentary Service Commission (PSC) to "immediately" refund the Sh4.5 million deducted from the salaries of the 418 MPs as 1.5 percent housing levy for the month of January 2024.
Pile pressure
This comes as Kenyans continue to pile pressure on President William Ruto to drop the "controversial, unpopular, punitive and unconstitutional" housing levy, citing tough economic times.
In a letter to National Assembly Speaker Moses Wetang'ula, who chairs the PSC, the MPs' employer, National Assembly Minority leader Opiyo Wandayi, says the deductions are unconstitutional as they fly in the face of the Court of Appeal ruling.
Mr. Wandayi says that despite the Court of Appeal's order, the PSC "still proceeded to implement the 1.5 percent housing levy deductions from the salaries of MPs and parliamentary staff for the month of January 2024."
"I am, therefore, writing to seek a commitment from the PSC that it will immediately refund the January 2024 housing levy deductions to Members and PSC staff.
Contempt of court
As it stands, these deductions are illegal and in contravention of the clear court order. It clearly amounts to contempt of court," Mr. Wandayi said in the letter dated February 1, 2024.
The three Court of Appeal judges, Lydia Achode, John Mativo and Mwaniki Gachoka, on Friday last week refused to extend the High Court orders allowing the government to continue collecting the housing levy pending the determination of the main appeal before the court.
The High Court had ruled that the 1.5 percent housing levy was unconstitutional because it was introduced without a legal framework and was discriminatory because it targeted a section of Kenyans in formal employment.
What irks Mr Wandayi is the fact that although the Court of Appeal ruled that further deductions for the housing levy should be halted at least until the main appeal against the levy is heard and decided, the PSC went ahead with the deductions "in clear violation of the court's orders".
Notice of appeal
It will therefore be interesting to see how Speaker Wetang'ula will respond to Mr Wandayi's letter, given that he has already filed a notice of appeal with the Supreme Court against the Court of Appeal's decision on the housing levy.
However, Speaker Wetang'ula did not respond to our queries on his known telephone number.
Remuneration of MPs in Parliament is determined by the positions they hold in the House leadership, for example, the Speaker is the most senior member of the House, followed by the Deputy Speaker, the Majority Leader and the Minority Leader, then the other MPs.
The Salaries and Remuneration Committee (SRC) determines the remuneration of Members in relation to the leadership positions they hold, excluding committee leadership responsibilities.
According to the SRC gazette dated July 27, 2022 on the remuneration and benefits of state officials in the National Assembly and Senate, the Speakers of the two Houses earn a gross monthly salary of Sh1.2 million while the two Deputy Speakers earn Sh928,000.
The majority and minority leaders in the two houses are four, each earning a gross of Sh968,000, while the other members take home Sh710,000.
To cover the housing levy, each of the two speakers share Sh17,400 monthly, the two deputy speakers share Sh13,920 each, the majority and minority leaders in the two houses share Sh11,520 each and 410 ordinary MPs - 346 in the National Assembly and 64 in the Senate - share Sh10,650 monthly.
Affordable housing program
In its ruling, the Court of Appeal effectively halted any further deductions from the salaries of employees for the challenged affordable housing program pending the hearing and determination of the main appeal.
The court said that to extend the stay order previously issued by the High Court would effectively allow an unconstitutionality to continue pending the hearing of the main appeal.
But even as Mr Wetang'ula filed an appeal with the country's highest court against the Court of Appeal's ruling on the housing levy, Mr Wandayi said that obeying court orders is "a must and not a choice for an individual regardless of his or her social standing."
"The institution of the Parliament of Kenya plays a key role in the functioning of our nascent democracy and must at all times be at the forefront of protecting the rule of law and constitutionalism. I hope that your good office will strive to protect its standing in society," said Mr Wandayi.
Pledged to build
President Ruto had pledged to build 250,000 affordable housing units in the country to address the housing deficit in the country.
