The Central Organization of Trade Unions (Kenya) has launched a scathing attack on sections of the private pension industry, accusing them of orchestrating a campaign of misinformation aimed at frustrating the implementation of enhanced National Social Security Fund (NSSF) contributions.
In a statement issued by Secretary General Francis Atwoli, COTU claimed that opposition to the NSSF Act, 2013 is being driven by commercial interests rather than genuine concern for workers.
“COTU (K) has reason to believe that most of the noise currently being generated around the implementation of the NSSF Act of 2013 are not motivated by concern for workers, the sole beneficiary of the enhanced benefits, but by commercial interests of some private insurance schemes determined to preserve their long-standing dominance over workers’ retirement savings,” the statement read in part.
The workers’ umbrella body maintained that NSSF remains Kenya’s primary social security institution and argued that strengthening it is in line with international labour standards and the constitutional obligation to protect workers against poverty.
COTU specifically cautioned private pension providers and their umbrella organisations, including the Association of Pension Trustees and Administrators of Kenya (APTAK), against what it termed deliberate attempts to sow confusion over the role and legality of the NSSF.
“If these misleading campaigns persist, COTU (K) will have no hesitation in exposing the anti-worker positions, contradictions, and commercial interests that underpin such efforts,” Atwoli warned.
The trade union movement also took issue with the Agricultural Employers Association (AEA), accusing it of urging employers to revert to the previous Ksh200 contribution regime despite court developments that paved the way for implementation of higher contribution rates.
According to COTU, the move is particularly concerning given that the agricultural sector employs some of the country’s most vulnerable and least protected workers.
The organisation further defended the NSSF’s performance, citing what it described as strong investment returns in recent years.
“NSSF has recently been recording some of the strongest investment returns in its history, declaring returns of approximately 11 per cent in the 2023/2024 financial year and 17 per cent in the 2024/2025 financial year. These are returns that many pension schemes would envy,” the statement said.
COTU alleged that there was a coordinated effort by anti-NSSF actors to portray the state pension fund as a threat to retirement security.
“We shall not remain silent when they engage in a deliberate and coordinated plan with the intent of misleading workers into believing that the existence and performance of NSSF threatens retirement security,” the federation stated.
While acknowledging the role played by private pension schemes, COTU insisted that such arrangements should complement, rather than replace, the national social security system.
“The retirement savings of workers belong to workers and not to private pension interests or financial intermediaries,” Atwoli said. “We shall continue to defend the NSSF as a critical pillar of social protection, fight attempts to weaken workers’ retirement security, and champion reforms that guarantee dignity in old age for every Kenyan worker.”
