Nairobi — It will now be compulsory for all workers to contribute to the State pension fund and employers have been urged to strictly enforce the directive.
This follows a gazette notice by Labour minister John Munyes requiring all employers with at least one employee to start remitting contributions to the National Social Security Fund.
"We wish to inform all Kenyan workers and employers that it is now mandatory to remit their monthly contributions to the NSSF," Managing Trustee Alex Kazongo said on Thursday.
Those having house helps, shamba boys, shop attendants on their pay roll will now be expected to start making monthly contributions for their workers, in the directive that took effect on November 1, this year.
Mr Kazongo revealed that with this new directive, an estimated six million new workers will be expected to come on board.
This move is further expected to strengthen the Sh90 billion fund, which currently has only 1.2 million members.
Mr Kazongo, addressing a news conference in Nairobi, said the minimum contribution per month will be Sh400, out of which the employer will contribute half the amount while recovering the other half from the employees salary.
Prior to the gazette notice No 159, dated 30 October 2009, employers with less than five employees on their payroll were not compelled to make contributions to the fund.
"They were disadvantaged because their counterparts in companies engaging five or more employees were catered for by the law through mandatory NSSF contributions," said Mr Kazongo.
"They were indeed denied the right to social security, which is globally accepted as a human right issue."
The Managing trustee asked all unregistered employers to register at the nearest NSSF office so that they could start making the contributions with 'immediate effect.'
But he warned employers who fail to heed to this directive that they would face stiff penalties.
"Failing to register is a criminal offence under section 5(4) of the NSSF Act Cap 258. Failing to make contributions is also a criminal offence under section 36(a) of the same Act."
The move comes at a time when NSSF had intensified campaigns to promote its voluntary and 'top up' schemes which enable workers to contribute more than the minimum monthly contribution.
NSSF members, said Mr Kazongo, were now free to enhance their contributions, through payroll, to any amount they could sustain.
This, he added, will in the long run have a positive effect of improving their 'take home' package and consequently, alleviate poverty.
Mr Kazongo said with the computerisation of their systems, claimants were now being paid within nine days as compared to a few years back when it would take years.

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