Central Organisation Of Trade Unions (COTU) Secretary General Francis Atwoli has urged Ikolomani Member of Parliament Bernard Shinali to withdraw his proposed Unemployment Insurance Authority Bill.
Speaking on Saturday, September 9, Atwoli said the proposed bill will burden employees who are already having may deductions in their pay slips.
"I want to ask my friend Shinali to stop this unemployment levy issue because people's pay slips are already filled with deductions. We don't have anything left on our pay slips,” said Atwoli.
He added, "If we haven't become economically viable as a country, we are not involved in manufacturing, we are not in the export business, we cannot grow our economy. The Kenya Kwanza government is now trying to put mechanisms in place to see if they can stimulate economic growth. But before that, let's not burden the workers with additional responsibilities."
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Shinali on Thursday, September 7 while appearing before the Budget and Appropriations Committee said the bill will cushion employees or their respective beneficiaries when they lose their jobs.
"The object of the Fund is to provide benefits to employees who become unemployed or their respective beneficiaries in order to cushion them against harmful socio-economic effects of unemployment," he explained.
The ODM MP noted that the bill proposes the money to be contributed by the employer and the employees, appropriations from the National government, donations, grants, and funds from counties.
The bill also proposed the establishment of the Unemployment Insurance Authority comprising nine members and a chairperson who will administer the fund and advise the Labour Cabinet Secretary on unemployment insurance policies.
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