Civil servants in Kenya’s national government are starting 2026 with a pay rise that is backdated to July 1, 2025, after the Salaries and Remuneration Commission (SRC) approved new salaries and allowances for Phase I of the 2025–2029 remuneration review cycle.
According to a circular shared by the Central Organisation of Trade Union (COTU) Secretary General Francis Atwoli, the SRC, in its meeting held on December 19, 2025, deliberated and approved adjustments to basic salaries and leave allowances for civil servants across all grades.
''Reference is made to your letters Ref. No. MPS&HCD.12 dated September 2, 2025, on the guidelines for negotiations on the 4 remuneration and benefits review cycle 2025-2029 and Ref. No. MPSP&DM/9/1 dated December 11, 2025, on the above subject,'' the circular sent to Public Service PS Jane Imbunya read in part.
''The approved Basic Salary structure and Leave Allowance should be implemented with effect from July 1, 2025, at a cost of Ksh 2,065,701,510 for the Financial Year 2025/2026.''
The new salary structure covers grades from CSG1 to CSG17 and other designated job groups, with allowances calculated according to location and job classification.
The changes also include a Salary Market Adjustment (SMA), which consolidates entertainment, domestic servant, and extraneous allowances into a single, streamlined adjustment.
Under the new structure, house allowances are divided into three clusters. Cluster 1 covers Nairobi, Cluster 2 includes major cities such as Mombasa, Kisumu, and Nakuru, as well as key municipalities like Nyeri, Eldoret, Thika, Kisii, Malindi, and Kitale. Cluster 3 applies to all other areas in the country.
The SRC circular indicates that civil servants in Nairobi will benefit the most from the house allowance increase, while staff in smaller towns and rural areas will receive comparatively lower rates, reflecting cost-of-living differences.
For example, civil servants in the higher grades, such as CSG4, can expect a basic salary of between Ksh 185,690 and Ksh 396,130, with house allowances of up to Ksh 140,600 for Nairobi residents.
Lower-grade employees, such as CSG15, will see their salaries rise to a range of Ksh 21,120 to Ksh 26,250, with house allowances up to Ksh 4,500.
The SRC noted that the SMA is intended to align public service salaries with market realities, ensuring that civil servants remain competitive and that remuneration adheres to constitutional and statutory principles. The adjustment also consolidates previous fragmented allowances for easier administration.
The new framework also revises leave allowances, aiming to compensate staff for accumulated leave and offer extra financial support during periods away from work
For unionisable staff, salary adjustments will be implemented through the Collective Bargaining Negotiations process, allowing staff representatives to participate in finalising pay increases for their members.
The SRC advised that the new salaries and allowances should be implemented promptly by all relevant government ministries, departments, and agencies, and that retroactive payments from July 1, 2025, should be made without delay.
The pay rise marks the first phase of the fourth remuneration and benefits review cycle (2025–2029). The SRC plans to continue reviewing and adjusting salaries in subsequent phases to ensure public service remuneration remains fair, competitive, and aligned with economic conditions.
