Employment Bill set to ‘Cost’ Clearing Agencies Millions

Five clearing agencies are likely to lose millions of shillings from potential job seekers if an amendment to the Employment Act goes through Parliament. The amendment which has been approved by the Budget and Appropriation Committee and will come to the House through the Employment Amendment Bill 2018, is proposing that a job seeker is exempted from the requirement of getting clearance from the agencies on ground that the job seeker is not likely to have committed an offence.

Five institutions that will be affected include the Ethics and Anti Corruption Commission (EACC) that charges Sh1,000 for clearance certificate, Credit Reference Bureau (CRB) Sh2,000, Higher Education Loans Board (Helb) Sh1,000, Kenya Revenue Authority (KRA) Sh1,200 and Director of Criminal Investigations (DCI) Sh1,050 for a certificate of good conduct.

Should the amendment be passed by the House, the five institutions will lose at least Sh750 million in the first year of implementation, Sh757 million in the second year and 765 million in the subsequent years. Nominated MP Gideon Keter who is the sponsor of the bill said should it be enacted into law, the government will be forced to look for alternative ways of raising monies in order to ensure that the agencies meet their operational needs.

He however, said  the passage of the bill will go a long way in lessening the financial burden for youths and persons with disabilities seeking employment as currently they are forced to part with at least Sh6,000 to get clearance. As a way to ensure potential employers get the best candidates, Keter is proposing that employees take up such costs of getting clearance letters in the case where someone is recruited. “My bill has been accepted by the Budget committee and I am hoping to bring it to the House for debate next week. This proposal will likely lower the burden to the job seekers,” he said.

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