The Senate Committee on Labour and Social Welfare has accused the Ministry of Education (MoE) and the National Treasury of neglecting retired workers at the Technical University of Kenya (TUK), as the institution grapples with an escalating pension crisis.
Led by the committee chair, West Pokot Senator Julius Murgor, the law makers said that liabilities have surged into the billions, and despite progress in verifying pension records, payments to retirees remain frozen due to unfulfilled government funding promises.
The committee heard that the verification process for pension records was nearing completion.
However, liquidator Long’et Terer stated that payments could not be processed as the government had yet to release promised funds.
The final report on pension records is expected by the end of the month, but Senators emphasized that technical progress was meaningless without actual financial disbursements to retirees.
TUK Vice Chancellor Prof. Benedict Mutua described troubling scenes outside his office, with pensioners frequently queuing for answers. He recounted instances of retirees suffering medical emergencies, including dangerously high blood pressure, attributed to the stress of waiting for their pensions.
“We are looking to this honourable committee to help the university get the funds,” said Prof. Mutua, who added that several retirees had endured severe health issues while standing in line.
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He stressed that the university had met its obligations and was now relying on the state to honour commitments made in a return-to-work agreement signed on March 17, 2025. Under this agreement, the government had pledged an initial payment of Ksh500 million into the pension scheme, a promise that remains unfulfilled.
Fred Sawenja, Secretary of the University Academic Staff Union (UASU) at TUK, representing petitioners and staff, criticized the Ministry of Education for years of structural underfunding and inaction, despite being fully aware of the growing pension crisis.
He noted that when the agreement was signed, the pension liability stood at Ksh4.2 billion. That figure later rose to Ksh6.2 billion and is likely even higher now.
Saweni also pointed out that while the Ministry of Education had pledged Ksh1.2 billion for the 2025/26 financial year, with Ksh500 million earmarked specifically for pensions, no funds had been allocated. Additionally, a promised Ksh1 billion for the current financial year had not materialized either.
The consequences of this funding shortfall have been dire for both retirees and current workers. Pensioners’ dependents remain unpaid, and active employees are left without an operational pension scheme.
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In a representation on behalf of the Treasury, Michael Kagika, Secretary for Pensions, explained that funding allocations were determined through sector working groups during the annual budget process. His explanation was met with little sympathy from Senators, who were demanding a concrete answer about when retirees would receive their overdue payments.
“When does the Treasury intend to pay this money? Are they waiting for them to die?” Kilifi Senator (Rtd) Justice Stewart Madzayo questioned.
Senator Joe Nyutu (Murang’a) also questioned the apparent disparities in university funding, pointing out that TUK had received no funding, while Moi University, which had requested Ksh3.8 billion, had reportedly been allocated Ksh6 billion.
In response, Kagika stated that he would communicate the committee’s concerns to the Treasury Cabinet Secretary and promised to provide a more comprehensive response regarding the delayed Ksh500 million payments.
The committee adjourned with a resolution to re-invite both the Education and Treasury Cabinet Secretaries to answer for the worsening pension crisis, which has left both retirees and current staff in a state of financial uncertainty.
By Obegi Malack
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