Mombasa, KENYA: The Institute of Certified Public Accountants of Kenya ICPAK has voiced its concern over the overgrowing wage bill the country is currently experiencing.
Speaking on Wednesday in Mombasa during the Annual Governance and Ethics Conference, ICPAK vice chair Julius Mwatu said there is need to manage the public servants’ salary to save the country’s economy.
“We must move with speed as a country and manage our expenditure, the Government spends a lot of money paying workers’ salary while economic development drags behind, ” he said.
Mr. Mwatu said ICPAK fully supports the Salary and Remuneration Commission SRC proposal to have the civil servants salary reduced, a move he believes will help the Government cut its expenditure.
According Mr. Mwatu, the Country is currently operating at an inversed condition where 70% of the national budget accounts for the expenditure, whereas development only gets the remaining percentage.
“The Public Finance Management act 2012 provides that minimum of 30% be allocated to the development expenditure in the medium term in both national and at the county government level, funny enough we are doing the opposite as country,” he asserted.
He further raised concern over the rising number of industrial unrest terming it as a threat to the management of the wage bill since workers in every sector now demand for salary increment.
Mr. Mwatu also said ICPAK as an institution, challenges professionals to contest for political posts in the August polls saying the country need leaders who value the public interest.
His sentiments on the wage bill management echoes President Kenyatta’s, who asked Members of the Parliament to have their salary reduced after the August elections.
Speaking during his state of the nation speech last week, Uhuru said the idea will help the government manage its expenditure and channel its efforts in nation building.