Atwoli wants Tax Relief for Workers in Labour Day Speech

NAIROBI — In a pointed Labour Day address on Thursday, veteran trade unionist Francis Atwoli called on the Kenyan government to ease the tax burden on workers, urging a shift in how monthly deductions are calculated.

Speaking before a packed audience at Uhuru Gardens in Nairobi, the Secretary-General of the Central Organisation of Trade Unions (COTU) argued that statutory deductions should apply only to a worker’s basic salary — not the gross amount.

“All deductions should be on basic pay,” Atwoli said. “Not on gross, where someone may have worked overtime and still walks home with nothing.”

The union leader’s remarks come amid mounting frustration over rising taxes and new statutory levies introduced by President William Ruto’s administration, including the contentious Housing Levy and the recently launched Social Health Insurance Fund (SHIF). Many workers complain their take-home pay has shrunk significantly, straining household budgets already battered by inflation.

Atwoli appealed directly to the president, calling on him to review the country’s salary structure and ease the financial pressure on employees.

“Mr President, these pay slips are hurting workers,” Atwoli told the crowd, prompting applause. “When people work extra hours or earn bonuses, they should enjoy that reward — not see it swallowed by taxes.”

His sentiments echo a broader public sentiment. Over the past year, Kenyan workers — especially in the formal sector — have voiced anger over the expanding list of payroll deductions. Critics argue that these policies, though aimed at funding development and social protection, disproportionately affect low and middle-income earners.

The Kenya Revenue Authority (KRA) and the National Treasury have defended the deductions, arguing they are necessary to fund essential services and reduce the budget deficit. However, the growing discontent may pose a political challenge for President Ruto, who campaigned on a platform of economic empowerment for ordinary citizens.

In his speech, Atwoli also veered into another hot-button issue: the regulation of social media.

“We must love this country,” he said. “In China, Dubai, the UK, and even the US, digital platforms are regulated. Kenya cannot remain a free-for-all.”

The remark stirred debate, with some Kenyans applauding the call for digital responsibility, while others warned against state overreach and suppression of free speech.

Atwoli’s remarks signal a renewed push by COTU to influence public policy at a time when the cost of living remains a pressing concern. Whether the government will heed the call remains uncertain — but the message was clear: workers want relief, and they want it now.

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