The Salaries and Remuneration Commission (SRC) has approved an increase in salaries and allowances for civil servants for the 2025/2026 financial year.
The adjustment was announced on Saturday, January 3, by Jane Imbunya, Principal Secretary in the Ministry of Public Service and Human Capital Development. She confirmed that the changes form part of the fourth remuneration and benefits review cycle.
According to the SRC, the salary review will cost the government KSh 2.07 billion in the 2025/2026 financial year.
Imbunya said the move reflects the government’s continued commitment to improving the welfare of public servants, thanking President William Ruto for prioritising public service reforms aimed at strengthening and motivating the workforce.
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The decision followed deliberations during the SRC’s 691st meeting held on Friday, December 19, 2025. The commission approved a review of basic salaries and leave allowances for national government civil servants under the first phase of the fourth review cycle.
In its statement, the SRC said the revised salary structure and leave allowance would take effect from July 1, 2025, with an estimated cost of KSh 2,065,701,510 for the 2025/2026 financial year.
On housing allowances, the SRC classified Nairobi as cluster one, while Mombasa, Kisumu, Nakuru, Nyeri, Eldoret, Thika, Kisii, Malindi and Kitale fall under cluster two. All other locations are categorised as cluster three.
The commission also noted that the Salary Market Adjustment, which factors in market positioning alongside constitutional and legal considerations, has consolidated entertainment, extraneous and domestic servant allowances.
For unionisable staff, implementation of the new pay structure will be subject to collective bargaining negotiations.
The revised remuneration framework will apply from July 1, 2025, marking the first phase of the fourth remuneration and benefits review cycle, which runs until the 2028/2029 financial year.
Reacting to the announcement, Central Organisation of Trade Unions (COTU) secretary-general Francis Atwoli welcomed the move, praising the government and describing the salary increase as a significant boost for civil servants. He went further to suggest that President Ruto deserves a second term in office.
