Kenya’s formal wage employment climbed to 3.21 million jobs in 2024, up from 2.74 million in 2020, signalling steady growth across both private and public sectors, according to new data from the Kenya National Bureau of Statistics (KNBS).
The rise reflects a gradual rebalancing of the labour market away from traditional sectors such as agriculture and construction, towards services, professional roles and social sectors. Private firms remain the backbone of formal employment, accounting for about 2.19 million jobs in 2024, compared with roughly 1.02 million in the public sector.
Manufacturing, professional services and business-related activities recorded some of the strongest gains, while agriculture, energy and mining continued to generate relatively few jobs despite their economic weight. Education and healthcare stood out as the largest formal employers. Jobs in education increased from 563,048 in 2020 to 704,652 in 2024, largely driven by teaching and support staff, while healthcare and social work employment rose from 148,808 to 174,992, with medical and dental services leading the expansion.
Manufacturing employment grew from 316,780 to 369,212 over the period, with textiles and apparel posting the sharpest increases of more than 40%. Other segments such as furniture, plastics and printing expanded more moderately, while food processing industries including sugar, dairy and meat registered slower growth.
Employment in agriculture and forestry rose modestly from 322,294 to 351,156, supported mainly by cash crop farming such as tea and coffee. Forestry and hunting, however, recorded slight declines, pointing to limited job creation amid tighter regulation.
The transport and storage sector added jobs steadily, rising from 77,066 in 2020 to 91,386 in 2024, underpinned by growth in warehousing, road freight and logistics support services. Warehousing jobs in particular jumped from 13,272 to 21,054, reflecting increased demand linked to e-commerce and regional trade.
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The information and communication sector also expanded, with employment increasing from 119,140 to 151,873 as digital services spread across the economy. Telecommunications accounted for most of the new roles, while data processing and hosting jobs grew alongside greater uptake of cloud services. Publishing and film-related activities saw slower but consistent gains.
Business and professional services continued to grow, with employment in consultancy, legal and accounting services rising from 63,665 to 76,671. Jobs in finance, insurance and real estate increased from 77,631 to 85,978, driven mainly by banking and credit-related activities. Administrative and support services expanded from 4,789 to 6,930 jobs, while real estate employment remained relatively small, edging up to 4,346 in 2024.
Construction employment levelled off in 2023 at about 235,944 jobs before slipping slightly to 233,323 in 2024, suggesting a cooling in infrastructure activity, though the sector is expected to regain momentum as economic growth strengthens. By contrast, energy and mining remained minor employers, with electricity and gas employing around 22,451 people and mining about 15,475.
Overall, the data point to a structural shift in Kenya’s labour market towards services, skilled professions and public sector roles, while traditional sectors such as agriculture, mining and energy continue to lag in job creation.