The outspoken Central Organisation of Trade Union (COTU) boss Francis Atwoli has welcomed a plan by the government to introduce a 3% Housing Fund. The Finance Bill of 2023 highlighted the proposal that requires both the employer and the employee to contribute to the kitty. This is part of President William Ruto’s agenda to reduce the two million housing deficit in the country. Atwoli told workers it is their only opportunity to gain extra revenue from the employers.
“The president explained clearly that this is not a tax… It is an opportunity for an employee to get money from the employer.
“This is your money, your savings. You will contribute 3% or a maximum of KSh 2,500, matched with the employer’s 3% (KSh 2,500), making it 6% (KSh 5,000),” Atwoli spoke on Nation Africa Union in the 9th of May 2023.
Atwoli then added that the money will earn interest and be available for an employee who wants to withdraw from the scheme. He noted that the government has set aside KSh 5 billion to the Housing Fund for units that will sell at affordable prices.
The Secretary General revealed that the president’s meeting with workers at KICC, leaders and general secretaries cleared the cloud about the kitty.
On April 23rd president William Ruto said the government will strengthen the housing funds to help more Kenyans to purchase affordable housing units. He added that Kenyans will now be contributing of their income and kick start their journey of owning a house.