Retired and retiring county staff could soon see their pension challenges addressed following the formation of an 18-member taskforce by National Treasury CS John Mbadi. The team, tasked with addressing Sh60 billion in pension arrears owed by county governments, aims to determine the exact amount owed and establish a strategy for clearing the debts.
The taskforce, chaired by Treasury official Albert Mwenda, includes representatives from the Treasury, the Attorney General’s office, the Controller of Budget, and several pension firms such as LapFund, LapTrust, and CPF.
The move follows a Senate resolution urging the Treasury to address the arrears, attributed to non-remittance of pension deductions by defunct local authorities and current county governments.
In its mandate, the taskforce will develop a framework to clear pension liabilities, submit bi-weekly progress reports, and align with recommendations from the Senate. As of March 2023, outstanding pension contributions exceeded KSh 85 billion, including debts owed to LapFund (KSh 48.79 billion), LapTrust (KSh 32.35 billion), and CPF (KSh 3.91 billion).
