This archive report was first published on 23 April 2020.
On April 23, 2020, the National Assembly's Finance and National Planning Committee made a crucial recommendation to protect the livelihoods of millions of Kenyans during the Covid-19 pandemic.
The committee, chaired by Kipkelion Member of Parliament Joseph Limo, directed that employers who are struggling to pay salaries due to drastic drops in revenue streams can only grant unpaid leave days to their staff during the period of the pandemic.
According to the committee, 'where the Covid-19 pandemic has adversely affected the ability of an employer to pay salaries or wages, the employer shall not terminate a contract of service or dismiss an employee or coerce an employee to take a salary cut.'
The recommendation is contained in proposals to the Tax Amendments Bill of 2020, which is aimed at cushioning millions of Kenyans from the economic meltdown occasioned by the Covid-19.
Many companies have already directed their workers to take pay cuts or sent staff on unpaid leave while others have said they will have to lay off employees due to hits to their cash-flows occasioned by the disease.
High-end hotels last month suspended operations following drops in customer numbers, adding that they would remain closed until further notice, thus setting the stage for under-employment, possible job cuts and unpaid leave for workers.
