High Court Denies Pension Scheme for Retired Governors
High Court Denies Pension Scheme for Retired Governors

High Court Denies Pension Scheme for Retired Governors

News summary

The High Court has ruled that retiring county governors and their deputies are not entitled to a Defined Benefit Pension Scheme, similar to that of national government officers, following a petition by the Council of Governors (CoG) against the Salaries and Remuneration Commission (SRC). Justice Lawrence Mugambi determined that the proposed scheme would be fiscally unsustainable and burdensome for future governments, potentially straining public finances. The SRC noted that while governors and deputies are state officers, their retirement benefits are governed by unique principles, and they currently receive a gratuity of 31% of their basic pay for each year served. The court emphasized that intervention is only warranted in cases of abuse of discretion, which the CoG failed to demonstrate. Furthermore, an option for a direct contributory pension scheme is available for these officials if they choose. This ruling reflects ongoing concerns about the financial implications of pension schemes for public officers.

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