NSSF Gives Way Forward on Salary Deductions After Court Ruling

by Timothy Cerullo on Friday, 5 June 2026 – 7:50 am An image of the NSSF Building. PHOTO/ Courtesy. The National Social Security Fund (NSSF) has directed employers to continue deducting and remitting contributions at the current enhanced rates despite a recent Court of Appeal ruling that declined to suspend a judgment declaring the NSSF Act, 2013, unconstitutional. In a statement on Friday, June 5 , NSSF said the ongoing court proceedings do not affect the contribution rates currently being remitted by employers and employees. The Fund urged members of the public to disregard claims that contributions should revert to the previous Ksh200 employee and Ksh200 employer deductions. “This is to clarify to our members and stakeholders that the NSSF Act is still in force on account of the judgment of the Court of Appeal rendered on February 3, 2023,” the Fund clarified. Undated image of the Milimani Law Courts Photo “The issues pending determination by the Court do not in any way affect contribution rates by employers and employees, which remain those of the year four cycle in accordance with the Third Schedule of the NSSF Act,” it added. The directive comes a week after salaried Kenyans received temporary relief when the Court of Appeal dismissed NSSF’s application seeking to suspend a judgment invalidating the NSSF Act, 2013. In the court ruling delivered on May 29, 2026, the appellate court found that NSSF had failed to prove that refusing to grant a stay order would cause irreparable harm to the pension sector. The judges noted that while the Fund had raised arguable legal issues, that alone was not sufficient to justify suspending the lower court’s decision. NSSF had argued that invalidating the 2013 law could disrupt pension contributions, affect the Haba na Haba savings scheme, create uncertainty for members, and interfere with the management of billions of shillings in pension funds. However, the court ruled that the Fund had not provided adequate evidence to support those claims, with the judges further noting that NSSF failed to present audited accounts and actuarial reports showing potential financial or operational disruption. The court also observed that NSSF contributions were previously collected under the older legal framework for years without evidence of governance challenges or systemic collapse. Despite the setback, NSSF maintained that the 2013 Act remains in force and defended the enhanced contribution rates as necessary to boost retirement savings and reduce old-age poverty among Kenyans. The Fund reported that its assets had grown to approximately Ksh715 billion as of March 30, 2026, and said it remains committed to safeguarding members’ contributions while awaiting further directions from the court. An undated photo of the National Social Security Fund (NSSF) building in Nairobi. Photo Courtesy Latest News DCI Launches Hunt for Man Captured on CCTV in Nakuru Reverend Murder Probe Fri, 5 Jun 2026 – 8:48 am TSC Allocated Billions to Absorb 20,000 Intern Teachers in New Budget Fri, 5 Jun 2026 – 8:07 am NSSF Gives Way Forward on Salary Deductions After Court Ruling Fri, 5 Jun 2026 – 7:50 am NTSA Issues Fresh Directive to All PSV Operators After Summoning Two SACCOs Fri, 5 Jun 2026 – 7:07 am NTSA’s Instant Fines System Faces Fresh Objections Thu, 4 Jun 2026 – 7:41 pm Sakaja’s Budget Transparency Score Drops, New Survey Reveals Thu, 4 Jun 2026 – 6:51 pm Kenya Railways Announces New Ticket Prices for Revamped Line Thu, 4 Jun 2026 – 6:19 pm KRA Reveals Billions Lost After Fuel Tax Cut Directives Thu, 4 Jun 2026 – 5:17 pm Education PS Orders Immediate Suspension of Certain Exams Amid Unrest Thu, 4 Jun 2026 – 5:04 pm Kenyans Brace for Expensive Loans as Banks Issue New Demands to CBK Thu, 4 Jun 2026 – 5:01 pm Kenyans Cut Down on Household Spending as Fuel and Transport Costs Soar – Report Thu, 4 Jun 2026 – 4:12 pm Lobby Group Goes After Govt Over Plans to Set Up State Lodge inside Imenti Forest Thu, 4 Jun 2026 – 4:05 p

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