Atwoli: COTU, government reach deal on housing levy use
COTU Secretary General Francis Atwoli says the union has reached a major agreement with the government on how the Affordable Housing Levy will be utilized — especially regarding social infrastructure.
This comes after COTU raised concerns over the use of worker funds for projects such as market construction arguing it was without prior consultation.
Following a meeting with President William Ruto at State House, Atwoli stated that both the union and the government have agreed that physical and social infrastructure will now only be developed in areas where housing projects are located, with rare exceptions for critical nearby facilities such as schools or clinics.
“Moving forward, all associated physical and social infrastructure will be constructed in locations where affordable housing projects are situated. In exceptional cases where essential facilities-such as schools, clinics, or other public utilities-cannot be developed, the Government may instead upgrade or improve nearby facilities to ensure service delivery in accordance with the objectives of the Fund,” he announced.
At the same time, Atwoli confirmed that workers contributing to the housing fund will now be prioritized in housing allocations, with the down payment requirement reduced from the current 10% deposit.
“To enhance affordability and access, the required deposit for those allocated housing units has been lowered from 10% to 5% of the unit’s purchase price,” he stated.
He also mentioned that a new committee will be established to oversee the reallocation of funds and ensure that any revenue from markets is reinvested in the housing agenda.
COTU welcomed the move, describing it as a victory for transparency and a safeguard for worker interests.
“COTU appreciates the Government’s continued commitment to protect the interests of Kenyan workers. We particularly commend President William Ruto for his willingness to engage, listen, and act on the concerns raised, thereby reinforcing the central role of workers in national development,” stated Atwoli.
