Nairobi, Kenya – The National Social Security Fund (NSSF) has reassured employers, workers and stakeholders that the Fund remains legally operational, dismissing misleading opinions.
NSSF said the enhanced contribution rates introduced under the NSSF Act, 2013, remain in force despite ongoing court proceedings.
In a statement seen by news9.africa, NSSF Managing Trustee and CEO David Koross appealed to employers not to revert to the old contribution rates, warning that such action could expose them to penalties.
Koross said the Court of Appeal’s judgment delivered on February 3, 2023, did not invalidate the NSSF Act but instead directed that unresolved issues be addressed through participation by employers and employees.
“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 issues awaiting determination do not in any way affect contribution rate by employers and employees which remains that of the year four (4) cycle in accordance with the Third Schedule of the NSSF Act,” read the statement in part.
NSSF raised the concern following misleading information purported to encourage employers to revert contributions to the previous KSh 200 rate.
“All employers and workers are reminded to comply to avoid denying their employees a benefit that has already crystallized and warranted penalties,” said Koross.
The appeal comes amid renewed debate over pension reforms and contribution rates, as NSSF insists that maintaining the current structure is essential for securing better retirement outcomes for millions of Kenyan workers.
The CEO emphasised that social security is a constitutional right protected under Article 43 of the Constitution and argued that enhanced savings are critical in addressing widespread old-age poverty in Kenya.
NSSF revealed 20% of Kenyan workers currently have retirement savings plans, while just 6% rely on pension income after retirement.
The Fund also noted that more than 1.2 million elderly Kenyans live in poverty, with over 0.8 million senior citizens reportedly living alone.
Koross said the enhanced contributions introduced under the NSSF Act have significantly increased members’ retirement savings.
As of March 30, 2026, NSSF reported an increase in assets to KSh 1.75 trillion.
“In the 2023/2024 Financial Year, the Fund declared a net return to members of 11% while in the following year 2024/2025, a net return of 17% was declared to members,” the statement continued in part.
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