All dismissed CS’s to go home with Sh54 million,Sh2.45 million each

President William Ruto on Thursday dissolved his cabinet in its entirety retaining the Prime Cabinet Secretary Musalia Mudavadi.

Ruto sent home the Cabinet Secretaries and Attorney General Justin Muturi.

The Head of State said the new cabinet will be named after extensive consultations across all sectors.

He added that with the CS out of office, ministry accounting officers among other officials will now take charge of operations.

“I have decided to dismiss with immediate effect all cabinet secretaries and attorney general of the Cabinet of Kenya except the Prime Cabinet Secretary and Cabinet Secretary for Foreign Affairs,” Ruto said.

The Head of State said the new cabinet will be named after extensive consultations across all sectors.

The question many might be asking is what the dismissed CSs will take home should they fail to make it back to the next Cabinet.

Salaries for State officers at the Cabinet level are guided by regulations of the Salaries and Remuneration Commission under Article 230 of the Constitution.

The Constitution spells out that Cabinet Secretaries relieved from their duties should get a gratuity of 31 per cent of their basic salary for every year worked.

This has to be subjected to taxation at 30 per cent.

The basic pay for CSs in the first year in office which was between November 2022 and end of June 2023 was Sh554,400 each.

The gratuity for those eight months is calculated at 31 per cent of the basic salary which is Sh1.37 million.

This in turn when subjected to 30 percent taxation means all CSs received Sh962,438 at the end of that financial year.

In the second financial year, June 2023 to June 2024, SRC revised their salaries from Sh554,000 to Sh574,200.

The gratuity remains at 31 per cent.

The gratuity then stood at Sh2.14 million which when subjected to taxation at 30 per cent (Sh640,000) the net pay becomes Sh1.49 million for each CS.

All-inclusive, the gratuity and basic salary net of taxation put together means that each dismissed CS will walk home with Sh2.45 million.

In total all dismissed CSs will go home with Sh54 million.