The Judiciary wants Parliament to fast-track the enactment of a Bill which seeks to introduce a cost-of-living-adjustment for pensions of all retired judges.
The Judicial Service Commission (JSC) says there has been delay in the enactment of the Judges Retirement Bill, 2025 which seeks to establish a dedicated pension framework for judges of the superior courts and whose annual pension will be adjusted to a factor of inflation.
If passed, the Bill will see retired judges enjoy an increment on their pension capped at five percent.
Currently, pension reviews are undertaken every two years in line with the Pensions Increase Act (Cap. 190). The Act provides for a three percent increment for all pensions, along with any previously granted increases.
However, the provision of the Pensions Increase Act (Cap. 190) will no longer apply to the pension of judges if the Judges Retirement Bill is passed into law. The State-backed Bill seeks to replace the current provisions under the general Pensions Act.
Winfridah Mokaya, the JSC secretary told the National Assembly’s Constitutional Oversight Implementation Committee (COIC), that there has been inordinate delay in the enactment of the Judges Retirement Bill, 2025, the Tribunal Bill, and amendments to several other statutes proposed by the commission.
“The reviews are meant to enhance effective administration of justice and improve employee welfare. We propose that the Bills be fast tracked,” Ms Mokaya said.
The Judiciary made the recommendations when it appeared before the COIC chaired by Tiaty MP William Kamket to present a report on the extent of the JSC discharge of its constitutional mandate pursuant to Article 171 of the Constitution.
The Judges Retirement Bill, 2025, sponsored by Majority Leader Kimani Ichung’wah, seeks to give preferential treatment to retired judges over public servants who are not entitled to similar benefits.
The Bill proposes that judges exiting service due to mental or physical incapacitation shall be entitled to at least 50 percent of what they would have received had they served for at least 10 years and left upon reaching the retirement age of 65 years.
Judge’s pension will be paid from the Judges’ Retirement Benefits Fund where the judicial officers will contribute 7.5 percent of their pay while in active service.
The government, as the employer, will contribute to the fund 15 percent of each judge’s pensionable pay. The contribution will be directly charged to the Consolidated Fund.
Cost-of-living-adjustment for pensions
Expenditure on pensions and gratuities stands at upwards of Sh200 billion per annum based on current figures from the Treasury.
“Subject to provisions of this Act, pension increases shall be paid on July 1 of every year on every specified pension…The pension increase shall be equivalent to the increase in the Consumer Price Index as reported by the Kenya National Bureau of Statistics for that financial year,” the Bill reads in part.
MPs and the Treasury rejected a similar plan to introduce a cost-of-living-adjustment for pensions of all retired public servants last April, saying it would be unsustainable.
The National Assembly Committee on Finance and National Planning shot down the Pensions (Amendment) Bill 2024, which sought to introduce inflation-based pension increment for retired public servants.
“Further, it (committee) noted that implementing the proposals in the Bill would substantially strain the Exchequer within Kenya’s tight fiscal space. Finally, the committee also observed that the Bill is discriminatory and is in breach of Article 27 of the Constitution since it provides for different treatment of two tiers of retirees,” the committee said in April, 2024.
“Introduction of cost-of-living adjustment and salary-based pension computation would have significant fiscal implications, particularly given the rising number of pensioners and increasing life expectancy,” the Treasury told lawmakers.
Exchequer is still struggling to make timely payments of pension benefits with the Treasury defaulting on disbursing Sh23 billion of pension cash to retired public servants in the 2023-24 financial year.
In the financial year that ended June, 2025, the budget for pension and gratuities was Sh223.14 billion with the allocation significantly rising over the years.
The long-delayed Tribunals Bill, 2023 seeks to anchor tribunals as part of the Judiciary and members of the tribunals as judicial officers.
The Bill seeks to give effect to Articles 1(3)(c), 20(4), 47(3), 159(1), and 169 of the Constitution regarding the Tribunals, to establish the office of the Registrar of Tribunals, to provide for functions of the Registrar of Tribunals, and rationalise and regulate the administration and operations of Tribunals.
The Bill, which amends 37 Acts of Parliament touching on provisions establishing Tribunals, further seeks to provide Tribunals with a solid legal legal foundation to ensure their independence, clear structure, and transparency.
The Bill also seeks to harmonise the appointments process, safeguard tenure, and reinforce impartiality—ensuring that Tribunals serve the public without fear or favour.
