In a letter to the boss of the Teachers Service Commission (TSC) Nancy Macharia, the teachers employed by the government are still undergoing pay cut over their loans despite the president’s directive. KUPPET has gone ahead to ask the boss to refrain from giving the institutions the required cash at this hard times. The president’s order came as a result of the covid-19 pandemic that is making employees spend a lot in these challenging times.
“We call for some level of understanding from financial institutions to consider teachers’ plight,” said Misori.
The letter that Kuppet wrote to TSC Chief Executive Nancy Macharia shows that the union, Kuppet now wants the employer to inform financial institutions that it will not be deducting teachers of the loans they owe them at these hard times.
“We urge the commission to withhold deductions for teachers’ loans and liaise with financial institutions on the same on behalf of teachers,” said he secretary general KUPPET Misori. He also said Kuppet is not able to state with certainty the extent of compliance with the appeal for leniency on loans, and asked TSC to try and intervene. “Some banks are dragging their feet on implementing the directive, or creating unnecessary means-tests on a policy that should benefit all workers,” said Misori in a letter that was written on 14th april 2020.
He said the policy directive to cushion workers applies to all loans that were running at the time of the declaration. As part of the economic stimulus package, the government recommended that commercial banks and other financial institutions provide relief for workers on the repayment of loans during the pandemic.
This was aimed at boosting efforts to cushion families and businesses from the effects of reduced business activity during the coronavirus crisis. Kuppet said only a handful of financial institutions have offered various reprieves, from outright loan holidays to the suspension of the levying of interest. The union also said only a few financial institutions have communicated with account holders on the same. Misori said with schools closed, many teachers are currently far away from their bank branches and are unable to make individual applications for relief.
“We have received complaints from teachers whose banks deducted interest on March salaries. We have also analysed payslips of many teachers and we have confirmed that many financial institutions have not complied,” said the secretary general.
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