Private security firms have seven days to commit payments to guards the gazetted minimum wage of Sh30,000.
A notice by the Private Security Regulatory Authority (PSRA) has directed that any private security company that fails to comply with the directive will be subjected to a statutory review of their registration and license status as per the law.
“Take notice that any private security company that fails to submit a duly signed and commissioned copy of the Legal Commitment within the next 7 days from the date of this directive shall be subjected to a statutory review of its registration and licensing status by Section 32 of the Act.” PSRA Director General Fazul Mohamed said.
PSRA drafted a legal commitment form that the directors of each private security firm must sign committing to pay guards operating within Nairobi, a basic minimum wage of Sh30, 000 and Sh27, 183 for those operating outside the Nairobi metropolitan area.
Security firm owners will also be required to provide evidence of the same by availing a copy of the latest payslips for its security guards.
They will not be able to hide the number of guards employed at their companies as the same list is required by the authority for registering and processing their guard force numbers.
The move follows the government’s move to regulate the sector in recognition of its important complementary role in the management of security in the country amidst concerns that the new pay may not be viable and risks sending many firms into bankruptcy.
Under the new pay, the guards will receive Sh18,994 as minimum pay, a house allowance of Sh2,849, and an overtime allowance of Sh8,156 totaling Sh30,000 per month.
The statutory deductions will be National Social Security Fund (Sh1,080), Social Health Insurance Fund (Sh825), Pay as You Earn (Sh1,229), and an affordable housing levy of (Sh450).
Previously in the last two years, the Ministry of Labour had set the minimum wage for private security guards as Sh16,959 in the three cities of Nairobi, Kisumu, Mombasa, and Nakuru.
Any employer violating the new regulations will be liable to a fine of Sh2 million.
Section 9 (q) of the Act, mandates the PSRA to set standards that will ensure compliance with minimum wage requirements, all private security companies must sign and submit to the authority a copy of the attached legal commitment to pay the Government to set a minimum wage for private security guards as stipulated in the law.