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Originally published by Kenyanstop
April 17, 2026
2h ago
Employers Weigh In on Increasing Employee Salaries After Fuel Price Hike
As pressure mounts ahead of Labour Day celebrations, President Ruto's administration faces the delicate task of balancing workers’ welfare with business viability...
✨ Key Highlights
The Federation of Kenya Employers (FKE) has opposed calls by the Central Organisation of Trade Unions (COTU) for immediate employee salary increases following a recent fuel price hike.
- COTU is pushing for an urgent increase in the minimum wage, with Secretary General Francis Atwoli expecting negotiations with the government for a pay rise on May 1, 2026.
- The FKE, represented by Executive Director Jacqueline Mugo, argues that forced wage increases could lead businesses to pass costs to consumers, worsening the cost of living crisis.
- Employers advocate for a structured dialogue considering economic sustainability, productivity, and the survival of SMEs amidst a reported 12% drop in formal employment.
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