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Government and Policy

Halt On Housing Levy Deductions: A Win For Legal Framework Integrity

BY Steve Biko Wafula · January 26, 2024 08:01 pm

KEY POINTS

The FKE's vigilant monitoring of the situation is a reassurance to its members and the public that the interests of employers are being safeguarded. This pause in deductions provides a breather for both employers and employees to understand the implications of such levies on their finances.

In an impactful decision on January 26th, 2024, the Court of Appeal upheld the rule of law by halting the Affordable Housing Levy, a ruling that resonates with employers and employees alike.

This announcement signifies a commitment to legal due process and the importance of public interest. The Federation of Kenya Employers (FKE) has been instrumental in disseminating this crucial information, ensuring that employers are well-informed and compliant with the court’s decision.

The cessation of the Housing Levy deduction until the appeal is heard is not only a testament to the judicial system’s checks and balances but also highlights the importance of a legal framework in policy implementation. Employers are advised to pause any deductions relating to the Housing Levy, maintaining a status quo that respects the court’s ruling.

Read Also: Kenya’s Housing Revolution: Navigating Challenges And Opportunities In The Affordable Housing Bill 2024

The FKE’s vigilant monitoring of the situation is a reassurance to its members and the public that the interests of employers are being safeguarded. This pause in deductions provides a breather for both employers and employees to understand the implications of such levies on their finances.

Employers are urged to stay informed through FKE’s advisories and to communicate with their workforce transparently about the developments. This ensures that when the final decision is made, organizations can adjust their payroll processes accordingly, without causing disruption or misunderstanding among employees.

In conclusion, the ruling serves as a reminder of the importance of following due legal process and considering the public interest in policy enforcement. As the matter unfolds, the FKE’s role is crucial in guiding employers through these legislative waters, ensuring that the voice of employers is heard, and their concerns are addressed.

Read Also: Kenyan Court of Appeal Upholds High Court Decision: Housing Levy Declared Unconstitutional

Steve Biko is the CEO OF Soko Directory and the founder of Hidalgo Group of Companies. Steve is currently developing his career in law, finance, entrepreneurship and digital consultancy; and has been implementing consultancy assignments for client organizations comprising of trainings besides capacity building in entrepreneurial matters.He can be reached on: +254 20 510 1124 or Email: info@sokodirectory.com

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