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Mumias East MP Peter Salasya has proposed amending Section 18 of the Employment Act to permit employers to pay workers bi-weekly (twice a month) rather than the current monthly model. He argues such a change would improve worker liquidity, reduce cash-flow stress, and stimulate economic activity.
Nairobi, Kenya — September 27, 2025 (EAT).
Mumias East MP Peter Salasya has proposed amending Section 18 of the Employment Act to permit employers to pay workers bi-weekly (twice a month) rather than the current monthly model. He argues such a change would improve worker liquidity, reduce cash-flow stress, and stimulate economic activity.
Salasya presented his motion in Parliament proposing that the law be revised to allow more flexible salary schedules.
He said many workers struggle to make ends meet before month-end, leading to reliance on high-interest credit or informal debt cycles.
“Paying workers bi-weekly gives them breathing space, stabilises household budgets, and keeps local markets active,” Salasya argued.
The motion has reignited debate on labor reforms, employer burdens, and payroll administration in both public and private sectors.
Employment Act, Section 18 currently mandates that employees must be paid at least once every month.
Several countries allow weekly or bi-weekly pay, particularly for hourly workers or informal sector roles, with adjustment mechanisms for payroll systems.
Kenya has not significantly revised its wage payment norms in decades; Salasya’s motion is one of the first to challenge the monthly salary status quo.
|
Benefit |
Description |
|---|---|
|
Cash-flow relief for workers |
Workers can cover essentials (food, utilities, health) without waiting a full month. |
|
Reduced debt reliance |
Less need to borrow on short-term, high-interest terms before salaries arrive. |
|
Economic stimulus |
More frequent consumption may help local retail, services, and microbusiness turnover. |
|
Improved worker morale |
Regular payments can increase satisfaction, reduce financial anxiety, and improve productivity. |
Administrative burden: Employers—especially SMEs—may face increased payroll processing costs, accounting, cash management pressures.
Cash-flow for employers: Smaller firms may struggle to manage their own finances if forced into more frequent outlays.
Transition complexity: Adjusting existing contracts, payroll systems, unions, collective bargaining agreements will require careful regulation and phased implementation.
Disparities across sectors: Some sectors (e.g. agriculture, seasonal work) may find bi-weekly pay harder to harmonize than stable salaried roles.
Worker advocates / unions: Many are expected to support the idea, as it aligns with demands for better worker protections and income predictability.
Business community / SMEs: Likely to raise concerns about implementation cost, cash management logistics, and possible strain on liquidity.
Government / Ministry of Labour: Will need to examine the legal, fiscal and enforcement implications.
Economists: Some may welcome the potential stimulus effect; others may warn about inflation or business strain if not managed well.
Whether the motion will be formally tabled or forwarded to committee.
The timeline for possible adoption, stakeholder consultations, or transitional rules.
Whether exemptions or thresholds (e.g. small employers) will be proposed.
The fiscal and economic modelling behind predicted benefits versus costs.
