County workers in pension shake-up under new Bill

More than 226,500 employees working in the counties and eligible for pension would be transitioned to a new scheme if MPs approve a Bill currently before the National Assembly. Breaking It Down More than 226,500 employees working in the counties and eligible for pension would be transitioned to a new scheme if MPs approve a Bill currently before the National Assembly. The County Governments Retirement Scheme Bill, 2026 seeks to establish a Fund

09/01/26  •  594 Views

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More than 226,500 employees working in the counties and eligible for pension would be transitioned to a new scheme if MPs approve a Bill currently before the National Assembly.

📋 Breaking It Down

More than 226,500 employees working in the counties and eligible for pension would be transitioned to a new scheme if MPs approve a Bill currently before the National Assembly.

The County Governments Retirement Scheme Bill, 2026 seeks to establish a Fund for eligible county state officers, public officers and employees in the service of county governments, county government agencies, and associated organisations.

The government-backed Bill sponsored by Leader of Majority Kimani Ichung’wah seeks to repeal the Authorities Provident Fund, Cap. 212 and replace it with the new scheme.

📌 What You Need to Know

A September 2025 report by the Salaries and Remuneration Commission (SRC) shows that county governments had 226,500 staff in 2024.

The Bill provides for the membership to the scheme, contributions by members and sponsors, the investment and management of the assets of the scheme, the payment of benefits, and the protection of rights and benefits.

The Bill also provides for transitional arrangements to facilitate the orderly transfer of members, assets, liabilities, rights and obligations from the Local Authorities Pension Fund (Lapfund) to the County Governments Retirement Scheme Fund, while safeguarding retirement benefits.

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The Bill provides for the payment of benefits to the members of the scheme when they become due, social security of members by ensuring that members save to cater for their livelihood during their retirement and establishes a uniform set of rules, regulations and standards for the administration and payment of benefits for members of the scheme,

The Bill establishes the Scheme as a defined contribution scheme providing benefits including periodic payments including periodic purchase of an annuity.

📰 Source: Nation Africa

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