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Court suspends deduction of 1.5 per cent of employees’ salaries towards Housing Fund

The High Court has temporarily suspended deduction of 1.5 per cent of employees’ salaries towards the Housing Fund until May 20.

Labour Court Justice Maureen Onyango issued temporary orders suspending implementation of a gazette notice by the Ministry of Transport until a case opposing it is heard.

A similar case opposing implementation of the notice was filed on Monday by the Federation of Kenya Employers and it will be mentioned on the same date, May 20, 2019.

PS Housing and Urban Development Charles Hinga directed employers to contribute 1.5 per cent for each employee.

I will grant a temporary stay till May 20, 2019. I direct that the applicant consolidates the case with another similar matter before Justice Hellen Wasilwa

Labour Court Justice Maureen Onyango

Consumer Federation of Kenya (Cofek) through their advocate Henry Kurauka filed an application challenging the implementation of the order which was to take effect at the end of this month.

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