The Judiciary headed by Chief Justice (CJ) Martha Koome presented the Judges’ Retirement Benefits Bill 2024 to Treasury Cabinet Secretary Prof Njuguna Ndung’u.
In a statement on Tuesday, June 4, Koome said the bill will allow judges to enjoy a house allowance, medical insurance and car grants once they retire from office.
Besides, it will set the minimum pension for physically or mentally triggered retirements at 50% and ensure that the amount is increased based on the inflation levels.
“The proposed scheme will operate on a defined benefit basis with modest improvements on making house allowance part of pensionable emoluments, increases in line with inflation, minimum pension on retirement for physical or mental incapacity set at 50% of potential pension at age 70, medical insurance, car grant given once on retirement and at least one security officer,” Koome said.
Pensions Amendment Bill 2024
This comes after Mutuga MP Tandaza Sawa sponsored the Pensions (Amendment) Bill 2024 that seeks to amend the Pensions Act, Cap 189.
This also includes an automatic cost of living adjustment to the pensions earned by all retired public servants to cushion retirees from the effects of inflation.
Additionally, the Bill aims to amend the current law to ensure that automatic adjustments be calculated based on the increase in the consumer price index for the 12 months ending on June 30 of each financial year.
The Kenya Bureau of Statistics and the Treasury Cabinet Secretary will determine the consumer price index.
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Koome Gives Background of Judiciary Transformation
Koome said the Judiciary was considered a part of the civil service until it was delinked from the office of the Attorney General in 1993.
The CJ explained that the move enhanced financial independence and acknowledged the unique work conditions of judges.
“Since the delinking, several initiatives have been undertaken to establish a separate pension scheme for judges but despite the efforts, lack of legislative backing has hindered progress over the past 30 years,” she said.
She stated that other civil servants had transferred to the Public Service Superannuation Scheme leaving judges and teachers as the only state officers remaining within the Pension Act of 1946.
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“In order to ensure that the position of judge retains esteem and continues to be attractive to the most meritorious members of the legal profession then the pensions benefit for judges must be responsive to the unique nature of their work,” Koome said.
Judges have the longest tenure of all State and public officers, given their retirement age at 70 years.
“A comparative study conducted by the Taskforce across Commonwealth countries revealed a widespread recognition of the need for a stand-alone pension statute that specifically addresses the unique service conditions of judges,” she added.
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