By OUMA WANZALA, owanzala@ke.nationmedia.com
In Summary
- Mwalimu Sacco says that its 57,277 members will not be getting advance salaries from this month until further notice.
- The announcement deals another blow to teachers whose salaries have been frozen by the TSC over the ongoing national strike.
- Although it paid teachers their August salaries, the TSC has withheld all the deductions due to saccos.
Mwalimu National Savings and Credit Society has
suspended salary advances to teachers as the stalemate between the
Teachers Service Commission (TSC) and its employees shows no signs of
letting up.
The sacco announced that its 57,277 members will not be
getting advance salaries from this month until further notice. In a
circular dated September 23 and addressed to all members of the sacco,
chief executive officer Robert Shibutse said the decision had been
arrived at due to the current industrial dispute.
The sacco has also frozen the processing of BOSA
loans (long term loans) but will continue to offer normal, emergency and
Wezesha loans.
“The changes will enable the society meet all its
recurrent obligations,” said Mr Shibutse, adding that the position will
be reviewed “immediately the situation normalises.”
Mwalimu Sacco mostly draws its membership from high
school teachers and their spouses as well as education sector employees
such as TSC staff.
The announcement deals another blow to teachers
whose salaries have been frozen by the TSC over the ongoing national
strike. Although it paid teachers their August salaries, the TSC has
withheld all the deductions due to saccos.
The Kenya Bankers Association (KBA) said the move
would hit teachers hard as they are expected to meet part of their
bargain in servicing their loans. KBA chief executive officer Habil
Olaka said withholding teachers’ pay would also affect the banking
sector.
“Teachers have an obligation with the banks and
hope they will be able to repay loans,” said Mr Olaka, adding that the
association hopes for a speedy resolution.
But he did not disclose how much the bankers will lose in terms of loans if the teachers are not paid.
The commission pays about Sh14.5 billions in salaries and allowances for teachers per month.
The Kenya Union of Post Primary Education Teachers secretary-general Akello Misori, however, asked teachers not to fear.
“The strategy is to make teachers abandon their cause and return to work. We urge them to remain firm,” said Mr Misori.
The teachers have been on strike since the start of
this month demanding a salary increase of 50-60 per cent as awarded to
them by the court in June
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