Kenya

Labour Market Profile 2012

Executive Summary
MainIssuesontheLabourMarket In Kenya the government has been rushing to meet the deadline for tabling and adopting legislative reforms to implement the new constitution. The timetable for the next general elections for president, parliament and 47 new regional councilshasbeenhighontheagenda.Election date was first shifted from August to December 2012. Later on the date was set to be 4th March 2013. Everybody in Kenya has been very much concerned if there is going to be tribalism, riots andviolenceinconnectionwiththeelections,as werethecaseafterthe2007elections. The economic development of Kenya is good relative to most of Africa, with a relative high educational level, a larger and more diverse export sector, fewer working poor and a growing middleclass. However, growth is low, corruption is high and rising world oil prices have caused a surge in inflation undermining livingwages.Demonstrationsin2011demanded actions from the government to act on price increases on consumer products and shortages of food. During 2012 Kenya has succeeded to improve the economic situation, halting price increasesandstabilizingcurrencyrates. The potential for exploiting rich oil and gas reserveshasraisedhighhopesofnewsourcesof income and potential significant future economic development. However it is a concern if and how the government can secure an equal distribution of this new wealth to the benefit of thepeople. Though Kenya is one of the highest developed African nations, agriculture and the informal economystilldominatestheeconomy,with61% of workers employed in agriculture and a non agricultural informal employment at 82% in 2011. Recently the two contributory social protections schemes the NSSF & NHIF has been opened for informal sector workers and many people join the schemes. The NHIF was restructured in 2012 following a major fraud scandal. LabourMarketDevelopments - COTU is the only trade union federation in Kenya, and it is one of the strongest in Africa. This is due to its large membership, long organisational history and nationwide infrastructure. Tripartism is common in Kenya, and there are several well established tripartite institutions. The labour market is mostly governed by laws from 2007 and the constitutionfrom2010hasseveralreferencesto workersrights. - COTU in 2011 has been involved in tripartite discussion on employment policy including how to improve the industrial relations in Kenya. A tripartite commission was also established to have a closer look on salaries and minimum wages in Kenya. The wages boards were not properly functioning for some years but this has changed and minimum wages for the private sectorhavebeenrevisedin2011and2012. - There have been several industrial strikes in Kenya in 2011 and 2012. Medical Doctors and nurses as well as teachers and university staff called for strikes demanding for improved salariesandworkconditionsaswellasimproved terms of condition of services. The situation has been partly resolves through agreements with government on salary increases and promises to recruit and permanently employ 20,000 more teachers. - As part of the implementation of the new constitution a reform of the Industrial Court has been passed. Industrial Courts are now being established in the new decentralized structure, so far in 5 of 47 regions and new judges have been vetted. The court capacity is low and a large number of cases are pending. COTU has been engaged in building the capacity of the courts by training paralegals and familiarizing the courts and trade unions as well as employersrepresentativeswitheachothers.

Contents

TradeUnions .............................................................................................................................................3 TradeUnionsinKenya...................................................................................................................................4 EmployersOrganisations..........................................................................................................................5 CentralTripartiteStructures......................................................................................................................6 NationalLabourLegislation.......................................................................................................................7 ILOConventions........................................................................................................................................8 TradeUnionRightsViolations...................................................................................................................9 WorkingConditions ..................................................................................................................................9 Workforce...............................................................................................................................................11 Unemployment............................................................................................................................................11 SectoralEmployment..................................................................................................................................12 Migration.....................................................................................................................................................13 InformalEconomy.......................................................................................................................................13 ChildLabour.................................................................................................................................................14 Gender.........................................................................................................................................................14 CharacteristicsoftheWorkingAgePopulation........................................................................................15 SocialProtection.....................................................................................................................................17 GeneralEconomicPerformance..............................................................................................................18 Trade......................................................................................................................................................19 Tradeagreements.......................................................................................................................................20 ExportProcessingZones(EPZ) ..................................................................................................................... 20 References..............................................................................................................................................21

Trade Unions
Kenyas trade unions are sector based, with a few general unions that cover several industries, such as the Kenya Union of Commercial, Food and Allied Workers that represents workers in varied sectors like banking,food,retailandfinancial.1 TradeunionsinKenya (2008)
Numberoftradeunions Due(median) Membersoftradeunions Tradeunionmembersshareoflabourforce Tradeunionmemberstowagedworkers Femalemembershareoftradeunions NumberofCBAs WorkerscoveredbyCBAs ShareofworkerscoveredbyCBA Labourforce
2

COTUs secretariat is structured into six main departments, one of which is administrative while the restaretechnical. COTU is governed by the Governing Council that determines the policy thrust of the union, provides general direction on the working of the union and reviews the past work and activities of the centre. The Governing Council is held once every five years, and composed of the COTU office bearers, principal officers of the affiliate unions and ordinary members of affiliate unions, elected during the unions quinquennial(delegates)conference. TheExecutiveBoard is responsible for management of the affairs of the union, it consists of COTU office bearers and at most 20 ordinary members elected among the members of the Governing Council. The ExecutiveBoardmeetsonceeveryquarter. COTUs secretariat is structured into six main departments, one of which is administration while the restaretechnical. In 2011 the General Secretary of COTU, Mr. Francis Atwoli and the rest of the management were re elected. COTU have also decided to increase gender equality by having 30% women of the COTU trade unionleaders. COTUorganisationalchart
Quinquennial conference Governing council Executive Board Secretariat
DepartDepartments
AdminiCoopChild labour, stration erative HIV/AIDS Gender Education &training &equality

40 N/A 1.5million 9.2% 30.4% N/A N/A N/A N/A 16.5million

COTU(CentralOrganisationofTradeUnions)3 COTU is the only trade union federation in Kenya. COTUwasestablishedin1965andrepresents34of39 registered trade unions in Kenya, with around 1.3 millionmembers. COTU is one of the strongest trade union federations in Africa, due to its large member share of Kenyan workers,itslongorganizationalhistoryandnationwide infrastructure. Accordingly, COTU is a wellestablished political actor on labour market issues in Kenya. COTU lobbied the 2010 constitution, comments on labour legislation and are represented in many bi/tripartite organsdealingwithlabourpoliciesandlegislation. The COTU mission is to promote the creation of productive and sustainable employment opportunities, facilitate achievement of workers rights, enhance social protection and provide effective representationtoKenyanworkers.

Industrial relations, Economics&research

TradeUnionsinKenya Members,Dues,CollectiveBargainingAgreements(CBA)andOccupationalSafetyandHealthcommittees TradeUnion/ TradeUnionCentre

COTUCentralOrganisationofTrade Unions AmalgamatedUnionofKenyaMetal Workers KenyaPetroleumOilWorkersUnion Bakery,ConfectioneryManufacturing& AlliedWorkersUnion DockWorkersUnion KenyaBuilding,construction,Timber, Furniture&AlliedTradesEmployees Union KenyaChemical&AlliedWorkersUnion KenyaEngineeringWorkersUnion KenyaGameHunting&SafariWorkers Union KenyaUnionofPrinting,Publishing, PaperManufacturing&AlliedWorkers KenyaPlantation&AgriculturalWorkers Union KenyaScientific,Research,International, Technical&AlliedInstitutions BankingInsurance&FinanceUnion CommunicationsWorkersUnion RailwayWorkersUnion Tailors&TextilesWorkersUnion Transport&AlliedWorkersUnion KenyaUnionofEntertainment&Music IndustryEmployees KenyaUnionofDomestic,Hotels, EducationalInstitutions,Hospitals& AlliedWorkers KenyaUnionofSugarPlantation Workers KenyaLocalGovernmentWorkersUnion KenyaShipping,Clearing&Warehouses SeafarersWorkersUnion KenyaQuarry&MineWorkersUnion KenyaElectricalTradesAlliedWorkers Union KenyaShoe&LeatherWorkersUnion KenyaJockey,BettingWorkersUnion UnionofNational,ResearchInstitutes KenyaNationalPrivateSecurityWorkers Union UASUUniversityAcademicStaffUnion KenyaHotels&AlliedWorkersUnion KenyaUnionofCommercial,Food& AlliedWorkers KenyaAviationandAlliedWorkers Union KenyaUnionofJournalists KenyaLongDistanceTruckDriversand AlliedWorkersUnion

Affiliation Tonational tradeunion centre

COTU COTU COTU COTU COTU

Total Members (2008)

1,316,000 30,000 20,000 30,000 15,000 30,000

Female Members

Dues

Number ofCBAs

Workers covered byCBAs

Numberof OSHcom mitteesat workplaces

COTU COTU COTU COTU COTU COTU COTU COTU COTU COTU COTU COTU COTU

25,000 30,000 20,000 25,000 250,000 25,000 35,000 27,000 26,000 32,000 20,000 14,000 80,000 2%of 4 salary

COTU COTU COTU COTU COTU COTU COTU COTU COTU COTU COTU COTU COTU COTU COTU COTU

50,000 70,000 25,000 18,000 27,000 45,000 35,000 35,000 27,000 28,000 32,000 55,000 80,000 N/A 25,000 30,000

KNUTKenyaNationalUnionofTeachers UnionofKenyaCivilServants KUPPETKenyaUnionofPostPrimary EducationTeachers NationalNursesAssociationofKenya KenyaAirlinePilotsAssociation

None None None None None

200,000 N/A N/A N/A N/A

2%ofbasic salary Kshs.500/ 5 P.A

Employers Organisations

FKE(FederationofEmployersinKenya)6 FKE was established in 1959 and as of 2000, had a membership of 2541 enterprises. 7 As comparison Kenya is estimated to have 35,000 large or medium sized enterprises, constituting 2% Kenyas 1.7 million enterprises.8 FKE has three branches Coast, Rift Valley and Western Regions, with the headquarters in Nairobi. It is independent of both government and political parties. FKEs is headed by Executive Director Mrs. JacquelineMugo. The overall objectives of FKE are to maintain good industrial relations, promote sound management practicesandfairemploymentconditions. FKErepresentemployersinKenyaandfunctionsasthe equal social partner visavis COTU. FKE is therefore represented at most important bi/tripartite organs dealing with labour policies, and comments on labour legislation. Maintaining industrial relations are the core function of FKE, but it also provides business development assistancetomembers. FKE often lead negotiations of collective bargaining agreements on behalf of its member enterprises at company,industrialorsectorallevel. In addition, FKE has been or are involved in programmes such as capacity building, developing smallscaleenterprise,informaleconomy,childlabour, micro finance, youth unemployment, HIV/AIDS at the workplaceandexpandingsocialprotection. As of 2002, FKE maintained the secretariat on behalf ofeighttradeassociations: In addition, seven affiliates of FKE had their own secretariat: KenyaTeaGrowersAssociation(KTGA) Kenya Association of Hotel Keepers and Caterers (KAHKC) KenyaBankers(Employers)Association(KBEA) KenyaPetroleumDealersAssociation(KPDA) KenyaVehicleManufacturersAssociation(KVMA) Kenya National Chamber of Commerce and Industry(KNCCI) KenyaAssociationofAirOperators(KAAO) AssociationofLocalGovernmentEmployers(ALGE) Kenya Association of Building and Civil Engineering Contractors(KABCEC) Distributorship and Allied Trades Association (DATA) SisalGrowersandEmployersAssociation(SGEA) TimberIndustryEmployersAssociation(TIEA) Motor Trade and Allied Industries Employers Association(MTAIEA) AgriculturalEmployersAssociation(AEA) Kenya Coffee Growers and Employers Association (KCGEA)

Central Tripartite Structures

NationalLabourBoard The tripartite National Labour Board, advises the Minister of Labour on labour legislation and labour matters.7 The Minister of Labour also has to consult the board, when various sensitive changes to the labourlawaremade. WagesCouncils The Wages Councils (General Wages Council, Agricultural Wages Council and other sectoral councils), consists of three representatives from each of the tripartite parties, plus three independent members. The Councils gives advice to the Minister of Labour on matters of minimum wages and conditions of employment in agriculture and various sectors of the economy. The Wage Council has been operating better in 2011 than in 2010, but is not truly active in thenationallabourpolicies.3 ProductivityCentreofKenya The Productivity Centre of Kenya is a tripartite institution that works to improve productivity, sustainable growth and encourage better working relationship between labour and enterprises. It gives wage guidelines for various sectors based on productivity,inflation,andcostoflivingindices.1 IndustrialCourt The Industrial Court settles trade and labour disputes. Asaminimumitconsistsoftwojudgesandeightother members appointed by the Labour minister in consultation with COTU and FKE.7 Many labour cases are however, handled by ordinary courts since only employers and trade unions have standing before the court, and jurisdiction on labour law is overlapped by theHighCourt.1 Mediationandarbitration According to the U.S. Annual Human Rights Report:1 The Ministry of Labour typically referred disputes to mediation, factfinding, or binding arbitration at the Industrial Court. The government encouraged a stronger labour dispute mechanism, the Industrial Court dealt with cases slowly, and the decisions of the Industrial Court were not consistently enforced. Employers did not always comply with the courts reinstatement orders, and resisted efforts to establish unions, since the Industrial Court were ineffective in enforcingthelaw. Otherimportantbi/tripartiteorgans3 Tripartism is also incorporated several times in the law: If the Labour Minister interferes in a collective labour dispute, he should consult a Tripartite Committee before taking the decision. When the labour laws were reformed in mid 2000s, it was done with consultation from a tripartite taskforce, consisting of government representatives, COTU and FKE. In addition, the Industrial Relations Charter (1984) is a tripartite agreement, which lays the foundationindustrialrelationsinKenya.7 Wage councils and several tripartite committees have only convened on a few occasions. Several tripartite bodies are currently not active and according to COTU the Ministry of Labour, the labour administration, the industrial court and the labour inspection react slowly on issues and the handling of daytodaybusinessisconsideredtobeweak.3 NationalEconomicandSocialCouncil KenyanElectricityBoard NationalIndustrialTrainingCouncil NationalAIDSControlCouncilandGlobal FundonAIDS NationalSocialSecurityFund NationalHealthInsuranceFund NationalAdvisorycommitteeonOccupational HealthandSafety NationalTripartiteConsultativeCommittee KenyananticorruptionBoard NationalBankofKenya TeacherServiceCommission EducationalTaskforce

National Labour Legislation

InternationalstandardsandespeciallyILOConventions ratified by Kenya are used by the government and courtsasguidelines,eventhoughtheyarenotbinding. Convention 138 and 182 were mainstreamed into employmentlawin2007. Constitution9 The Constitution of 2010, enshrines several labour rights including the freedom of association, independence of social partners, a fair remuneration, reasonableworkingconditionsandtherighttostrike. TheEmploymentAct10 TheEmploymentActof2007regulatesvariousaspects of employment, including rights at work, working hours, sick and maternity leave, discrimination, sexual harassment, forced and child labour, protection of wages, termination of employment and dispute settlementprocedure. LabourInstitutionsAct11 Labour Institutions Act of 2007 establishes and regulates the National Labour Board, the Industrial Court, Committee of Inquiry, Labour Administration and Inspection, Wage Councils and Employment Agencies. LabourRelationsAct12 The Labour Relations Act of 2007 regulates trade unions and employers organizations, collective bargaining, strikes and lockouts, trade dispute resolution and also recognizes the freedom of association. OccupationalHealthandSafetyAct13 Occupational Health and Safety Act of 2007 deals withsafety, health and welfare of persons employed atworkplaces Severalotherlegislationsandactsexistwhichregulate and set standards and restrictions for the labour market.14

ILO Conventions

RatifiedILOConventions15
Subjectand/orright Convention

Ratification date

FundamentalConventions
Freedomofassociation andcollectivebargaining Eliminationofallforms offorcedlabour Effectiveabolitionof childlabour Eliminationofdiscri minationinemployment C087FreedomofAssociationandProtectionoftheRighttoOrganise,1948 C098RighttoOrganiseandCollectiveBargainingConvention,1949 C029ForcedLabourConvention,1930 C105AbolitionofForcedLabourConvention,1957 C138MinimumAgeConvention,1973 C182WorstFormsofChildLabourConvention,1999 C100EqualRemunerationConvention,1951 C111Discrimination(EmploymentandOccupation)Convention,1958 1964 Notratified 1964 1964 1979 2001 2001 2001

GovernanceConventions
Labourinspection Employmentpolicy Tripartism C081LabourInspectionConvention,1947 C129LabourInspection(Agriculture)Convention,1969 C122EmploymentPolicyConvention,1964 C144 TripartiteConsultation(InternationalLabourStandards)Convention,1976 1964 1979 Notratified 1990

UptodateConventions
Workingtime Wages Migrantworkers Socialsecurity Ruralworkersand industrialrelations Vocationalguidanceand training Seafarers Specificcategoriesof workers C014WeeklyRest(Industry)Convention,1921 C094LabourClauses(PublicContracts)Convention,1949 C131MinimumWageFixingConvention,1970 C097MigrationforEmploymentConvention(Revised),1949 C143MigrantWorkers(SupplementaryProvisions)Convention,1975 C118EqualityofTreatment(SocialSecurity)Convention,1962 C135Workers'RepresentativesConvention,1971 C141RuralWorkers'OrganisationsConvention,1975 C140PaidEducationalLeaveConvention,1974 C142HumanResourcesDevelopmentConvention,1975 C146Seafarers'AnnualLeavewithPayConvention,1976 C149NursingPersonnelConvention,1977 1964 1964 1979 1965 1979 1971 1979 1979 1979 1979 1990 1990

FundamentalConventionsaretheeightmostimportantILOconventionsthatcoverfourfundamentalprinciplesandrightsatwork.Equivalent tobasichumanrightsatwork. GovernanceConventionsarefourconventionsthattheILOhasdesignatedasimportanttobuildingnationalinstitutionsandcapacitiesthat servetopromoteemployment.Inotherwords,conventionsthatpromotesawellregulatedandwellfunctioninglabourmarket. Inaddition,thereare71conventions,whichILOconsidersuptodate"andactivelypromotes.

Trade Union Rights Violations

According to ITUC,16mass dismissals were a common tactic by employers for punishing workers for striking action or joining a union. ITUC had documented 2 arrests and 819 dismissals due to strike action or union activity. Workers dismissed for joining a union includedover100truckdrivers,50textileworkersand 19 oil workers. Nearly 600 postal workers received dismissal notices for taking part in a strike, but were laterreinstated,asdid50flowerworkers. Legally, all workers are free to join unions of their choice, and seven or more workers in a firm have the right to form a union. Every trade union, employers organization and employer have the right to collective bargaining. The new constitution, which took effect on 27 August 2010, allows trade unions to undertake their activities without government interference, and the constitution recognises and reaffirms fundamental trade union rights. The government have also voiced itssupportforunionrights. According to the U.S. Annual Human Rights Report,1 freedom of association and the right to collective bargaining are generally respected in practice. Trade unions are independent of the government and political parties, and civil servants are active members ofworkersorganizations Security forces cannot bargain collectively, they are prohibited from striking, but in the 2010 constitution they are no longer explicitly prohibited from joining unions. However, very few have so done so, although the Central Organization of Trade Unions (COTU) continued to advocate on their behalf for this right.1 Workers in the health sector, cannot bargain collectively either, but have associations which negotiatewagesandconditions. Workers in collective bargaining disputes are allowed to strike, with seven days notice. The Ministry of Labour typically referred disputes to mediation, fact finding, or binding arbitration at the Industrial Court. During mediation, any strike is illegal. According to ITUC, COTU has criticised the Industrial Court for waiting until the seven days notice period ended, then declared the strike illegal, allowing employers to orderemployeesbacktowork,ratherthanintervening duringthesevendayperiod.

Working Conditions

The labour laws apply to all groups of workers, however according to the U.S. Annual Human Rights Report1,legalprotectionwerelesseffectiveforgroups such as migrant workers, domestic workers and commercialsexworkers. The government raised the minimum wage by 12.5% in May 2011. Many industries workers were paid the legal minimum wage, and unions had demanded a 60% increase, as the wages were far outpaced by sharp rises in the cost of living.16 There have been several demonstrations in 2011, with demands to the government to deal with the increased consumer prices and shortage of food.3 Likewise, the real minimum wage had been declining for years with an average of 4.2% decline from 200609. The large segment of Kenyans in the informal economy was, by thatfact,notlegallycoveredbytheminimumwages. A survey conducted in February 2012 by WageIndicator.org showed a medium wage of 9,338 shillings. 17 The median wage in 2012 was not considerably higher than the lowest legal minimum wage and almost the same as the average minimum wage. The average wages was much higher than the median, indicating an unequal distribution of income in Kenya. An ordinary Kenyan therefore appears to earn a little more than $100 per month. The survey also showed that the median wage is higher in larger firms, lower in informal economy, higher for workers with longer education and notably, with very little

gender difference. On average 58% were paid above theminimumwageoftheirprofessionand42%below, with younger as well as more informal workers tendingtobepaidbelowtheminimumwage. According to the U.S. Annual Human Rights Report,1 There is a trend of permanent positions being crowdedoutbycasualorcontractlabour,especiallyin the EPZ, agricultural, and manufacturing sectors. The low salaries made the labour inspectors vulnerable to bribes, and employers in all sectors routinely bribe labour inspectors to prevent them from reporting infractionsortoavoidpenaltiesforlabourviolations. The workweek is legally limited to 52 hours, 60 for nightworkersandagriculturalworkershavenolimits.1 However, WageIndicator.org reported the average working week at be 64 hours, with average 5.9 workingdaysperweek.17AccordingtotheU.S.Annual Human Rights Report,1 Workweek and overtime violations are often violated, with workers particularly in the Export Processing Zones and road construction, havingtoworkextrahourswithoutovertimepay. HIV/AIDS at workplaces is a concern in Kenya and the ILOs Decent Work Country Programme18recognises it as a priority area, promoting access to antiretroviral treatment through Occupational Safety and Health services. Unemployed and marginalised youth are mentioned as a particular vulnerable group to HIV/AIDS. Children orphaned due to parents having contracted HIV/AIDS are also more likely to be engagedinchildlabour. The flower export industry in northern Kenya, has attracted international attention for its working conditions.Theunorganisedflowernurseriesaremore prone to have low Occupational Safety and Health standards due to working environments with dangerous chemicals, low wages and as 65% of

workers are women, sexual harassment. However according to COTU this is not a general problem anymore as most of the flower nurseries are covered byCollectiveBargainingAgreements.3 Wagesandearnings Monthlyaverageandlegalminimumwages
Source Averagewages (2010) Medianwage (2012) Averageminimum wage(2010) Lowestlegalurban minimumwage (2011) Lowestagricultural minimumwagefor unskilledworkers (2011) %minimumwageto valueaddedper worker(2012) WageShare Unadjusted (2007) Growthofreal minimumwage (20002010) Growthofreal averagewage (20022010) GlobalWage 19 Report WageIndicator GlobalWage 19 Report
17

Current Shilling 32,736 9,338 10,606 7,586

2011US Dollar 428 108 138 85

U.S.Human RightsReport 3,765 42

1

Doing 20 Business

8.9%

35% GlobalWage 19 Report

3.6%

8.38%

%ofminimumwagetovalueaddedperworkerdenotesthe minimumwageshareoflabourproductivity.Reportedasratioof minimumwagetovalueaddedperworkerintheDoingBusiness 20 Report. TheWageShareistheshareofGDPthatgoestowagesandother formsoflabourcompensation.Itisnotadjustedfortheself employed,andcanthereforeunderestimatetheamountofGDP thatgoestoworkers,iftherearemanyselfemployedinthe 19 economy.

10

Workforce
Employmentrates(2011)1 AgeandSexdistribution
Sex Male& female Male Age Total Youth Adult Total Youth Adult Total Youth Adult 15+ 1524 25+ 15+ 1524 25+ 15+ 1524 25+ Employment rate 60% 33% 76% 66% 36% 82% 55% 29% 70%

25+

1524

15+ 0% 20% 40% Male&female Female 60% Male 80%

Female

It is rather consistent with no major differences in the share of working poor depending on age and sex, that 1417% of working Kenyans live for under $1.25 a day and 3136% for under $2. The latest data on Kenya is from 2005, which is substantially lower than the Sub Saharanaverage. Kenya has managed to substantially decrease working poverty compared to its SubSaharan neighbours, and the middle class in Kenya are growing and is larger than in SubSaharan Africa. In 2010, 28% of Kenyans lived for $24 a day and 17% for $420 a day, compared to SubSaharan Africa where 14% lived for $24adayand10%for$420aday.21 Kenyas middle class did not either get pushed back into poverty due to the Financial Crisis of 2008, but continued to grow, which is indeed the case for many other socalled emerging market countries that Kenya is considered a part of. The high inflation could undermine the middle class growth, so hopefully the forecastoflowerinflationholdstruthforKenya. Unemployment No estimates for unemployment are available, but youth unemployment is increasing in Kenya, with youth unemployment constituting 70% of total unemployment in Kenya, according to the 2005/06 household survey.22Unemployment stood at 25% for the age group 1519 24.2% for 2024yearolds, 15.7 for those aged 2529 and 7.5% for the age group 30 34. This is mainly due to young Kenyans moving from rural to urban areas in large numbers, and the urban areas are not able to generate jobs to absorb them. A lot of these jobseekers therefore also end up in the informaleconomy.

Interpretation of the open unemployment and employment rates as indicators of a wellfunctioning labour market is problematic in developing countries. When unemployment is not an option where a person can survive, work of some sort has to be found, often casual and informal work. Unemployment should therefore be understood in relation to the strength of social safety nets, the prevalence of informal employment and how much of informal employment is underemployment due to few formal employment possibilities. See Kucera & Roncolate (2008) for a discussion on unemployment and informal employmentindevelopingcountries.23 WorkingPoor(2005)1 Age15+,SexandRegion
Region Sex Male& female Kenya Male Female Shareofworkers intotalemployment 1.25USD 2USD aday aday 15% 15% 16% 34% 32% 35%

SubSaharan 49% 71% Africa(2005) SubSaharan 44% 67% Africa(2011) Workingpoormeasuresemployedpeoplelivingforlessthan US$1.25andUS$2aday,asproportionoftotalemployment inthatgroup

11

SectoralEmployment Employment(2005)1&GDPshare(2010)22 Sector&Sexdistribution(GraphwithoutAgriculture)

Sector Miningandquarrying Manufacturing Electricity,gasandwater Construction Trade,restaurantsand hotels Transportand communications Finance,realestateand businessservices Publicadministrationand Services Agriculture Male employment 872 330,653 18,581 295,390 796,359 360,430 95,338 992,656 3,535,092 Female employment 255 118,183 3,440 5,697 937,188 36,545 42,148 806,564 4,169,458 GDPshare persector 0.8% 11% 2.7% 4.9% 14% 11% 12% 18% 26%
0 500,000 1,000,000 1,500,000 2,000,000 2,500,000 Male Female GDPsharebySector 0% 4% 8% 12% 16% 20%

The graph above shows considerable contrasts in the amount of GDP generated in different industries compared to the number of people employed in theseindustries.Thesectorsthataremaledominated also have higher contribution to GDP, relative the number of workers in these sectors. Whether these sectors also have the best paid workers, depends on the sectors capital intensity and the distribution of wages. Strikingly,whatthegraphdoesnotcaptureisthatthe agricultural sector employs 61% of Kenyas workforce, but only contributes with 26% to its GDP. Agriculture is therefore both the largest sector in Kenya, employs the majority of Kenyas workforce and is the sector with the least contribution to GDP perworker,i.e.labourproductivity. In the last decade, Kenya has experienced sectoral shifts. With adiminishing share from agriculture from 32% in 2000 to 23% in 2011, and industry and serviceswithincreasingfrom20002011with1719% and5158%respectively. StillKenyahasoneofthesmallestagriculturalsectors in SubSaharan Africa and Kenya is reported to have both a better developed industry sector than its East African neighbours and a more skilled workforce. However, Kenyas workforce is also reported to have limitedspecialisedskills.3

SectorShareofGDP
70% 60% 50% 40% Industry 30% 20% 10% 0% 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 Agriculture Services

24

12

Migration Kenya receives more remittances than therest ofSub Saharan Africa. This trend in remittances is reflected by the number of migrant per inhabitants in the 5 years from 200610, where 1 out of 1,017 Kenyans migrated per year, double the amount of SubSaharan Africa. This shows a nation where labour migration is common. Though remittances contribute to a notable share of Kenyas GDP, labour migration also leads to brain drains.Manyphysiciansandotherhealthcareworkers do for example, migrate to developed countries, leading to a shortage of skilled workers in this sectors.25 TheEACcommitsKenyatoadoptmeasurestothefree movement of persons and labour from the other five member states. For migrants from other countries an InformalEconomy 79% of total nonagricultural employment is in the informal sector.1 Other data from 2011 suggests 82% of Kenyas workforce is in the informal sector, with 12% in formal private employment and 6% in formal publicemployment.17AswithmanyotherSubSaharan AfricancountriestheinformalsectorinKenyaprovides the vast majority of employment. Most new jobs are created in the informal sector, crowding out jobs in the formal sector. The informal sector also absorbs many of the young, where unemployment is not an option. Though the latest data for SubSaharan Africa isfrom2001itisatacomparablelevel. A survey by WageIndicator.org conducted in February 201217 rated workers on an informality scale from 15, with 1 being workers not entitled to social benefits, who do not contribute to social security and with no contract. It shows 44% in the two most informal categories and 23% in the most formal category. The survey also showed that the informality index correlates age, with more young people in informal employment, and also correlates wages, with more than double the median wage at very formal employmentcomparedtoveryinformal. Employmentintheinformaleconomy1 (2011)
Personsemployedin thenonagricultural informalsector Shareofpersons employedinthe nonagricultural informalsector Kenya(2007) Kenya(2007) SubSaharan Africa(2001)
1=Very informal

entry permit is granted if the foreigner is of benefit to Kenya, and an employer who employs a foreigner mustsubmitareporttotheauthorities. Migration24
Netmigration (20062010) Netmigrationto averagepopulation peryear(20062010) Personaltransfersi.e. remittancesreceived, %ofGDP(2011) Kenya Kenya SubSaharanAfrica Kenya SubSaharanAfrica 189,330 1:1,017 inhabitants 1:2,048 inhabitants 2.8% 2.6%

7.5million 79% 78%

5=Very formal

Employment statuson informalityindex

2 4

13

ChildLabour The data on child labour are not consistent due to different methodologies andtime periods,but it could indicate a drop in child labour. The latest data is from the 2006 with Kenya Integrated Household Budget Survey Child Labour Analytical Report, revealing 1.01 million or 5.3% children in employment. On the contrary the Multiple Indicator Cluster Survey revealed 26% of children engaged in labour in 2000. Two later studies show 14.2 % child labours in Kenyas Eastern Province in 2008 and 6.4 % in Mombasa in 2009, but that is not necessarily representative of all Kenya. There are other reasons to believe that child labour has dropped. Kenya reintroduced free and compulsory primary education in 2003, which are reported to successfully combat child labour,26and according to the KIHBS children in employment aged 518 has declined from 1.9 million in 1999 to 1.01 millionin2006. In anycase,Kenya has fewer child labourers than Sub Saharan Africa and goes against the trend, where Sub Sahara Africa has seen an increase in children in employment.

Workingchildren Proportionofallchildrenaged514
Region Kenya Source/ Methodology Year 2000 Type Proportion Child 26% labourers Eastern Child 27 MICS 2008 14.2% Province labourers Child Mombasa 2009 6.4% labourers Childrenin 28 Kenya KIHBS 2006 5.3% employment Childrenin 2004 26% employment Childrenin 28% Sub employment 29 Saharan SIMPOC Child Africa 2008 25.4% labourers Hazardous 12.7% work (MICS)UNICEF MultipleIndicatorClusterSurvey (KIHBS)KNBSKenyaIntegratedHouseholdBudgetSurvey (SIMPOC)ILOStatisticalInformationandMonitoringProgramme onChildLabour Childreninemploymentincludesallchildrenwhoconductsome kindofwork,whereaschildlabourersisanarrowertermwithout mildformsofwork.Hazardousworkistheworstfromofchild labourasdefinedinILOC182.

Gender As noted elsewhere in this report: 54% of agricultural workers are women. Sectors which are male dominated have higher contributions to GDP, such as Manufacturing, Transport & Communication and Finance, Real Estate & Business Services. Net primary school enrolment is higher for girls than boys, but net secondaryandgrosstertiaryschoolenrolmentislower for girls, though only slightly for secondary school. Women in general have less education than men, but with a smaller difference than neighbouring countries, and women have higher average years of schooling than men in any of the four neighbouring countries in theEastAfricanCommunity. According to the ILO, 30 womens lower levels of education are a barrier to running their own farms. Lower levels of education are also a barrier to women obtaining betterpaid jobs on commercial farms and women working on agricultural estates are almost always the pickers and packers and very rarely attain managementpositions. ILOs Decent Work Country Programme for Kenya,18 mentions a need for increased gender equity in trade union membership and leadership levels, and strengthening inclusion in social partners is a priority area. COTU has set the goal of having 30% female trade union leaders. COTU is collaborating with the trade union confederation for the East African Community EATUC, to promote gender equality, both within the labourmovementandinKenya.31

14

Characteristics of the Working Age Population

Highestlevelattainedandyearsofschoolinginthepopulation(2010)32 Population25+,TotalandFemale
HighestLevelAttained
NoSchooling Primary Secondary Tertiary Begun Completed Begun Completed Begun Completed

Total
16.2% 4.5% 50% 25.6% 0.6% 1.2% 2% 6.95years 0.28

Female
20.5% 5.5% 53.9% 17.8% 0.4% 0.7% 1.2% 6.21years 0.30
Total

Female

Averageyearoftotalschooling EducationalGiniCoefficient

0% 20% NoSchooling Secondary Begun Tertiary Completed

40% 60% Primary Begun Secondary Completed

80% 100% Primary Completed Tertiary Begun

Primary,secondary andtertiaryistheinternationallydefineddistinction ofeducation.InDenmarkthese correspondstogrundskole, gymnasium & university. The educational Gini Coefficient is similar to the Gini Coefficient, but instead of measuring the distribution of income in a population, it measures 33 thedistributionofeducationmeasuredasyearsofschoolingamongthepopulation.

The population in Kenya have an average of almost 7 years of schooling. Very few Kenyans have completed secondary school or university. The graph above shows the educational attainment of all Kenyans above 25 years, therefore gives a glance of the human capitalofthelabourforce. Women in general have less education than the total population, but more women havecompleted primary education. More females have no schooling and fewer femaleshavereachedsecondaryortertiaryeducation.

EnrolmentinPrimarySecondaryandTertiaryschools(20002010)24 TotalandFemale,KenyaandSubSaharanAfrica
Netprimaryschool enrolment
100% 90% 80% 70% 60% 50% 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 60% 50% 40% 4% 30% 20% 10% 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2%

Netsecondaryschool enrolment

GrosstertiarySchoolenrolment
8% Kenya, Total enrolment Kenya, Female enrolment SSA,Total enrolment SSA, Female enrolment

6%

0% 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Net enrolment is the ratio of children of official school age, who are enrolled in school to the population of the corresponding official school age. Gross enrolment is the ratio of total enrolment, regardless of age, to the population of the corresponding official school age. Gross enrolment can thereforebehigherthan100%,butwithtertiaryoruniversityeducation,theageofthepupilsismorediverse.

Though there are some missing data in the educational data for Kenya and SubSaharan Africa, therearestillnotabletrends. Kenya has successfully implemented free and compulsory primary education through age 13, which is reflected by higher net primary school enrolment ratethantherestofSubSaharanAfrica,andverylittle

15

gender difference in Kenya. The data for enrolment rates reflect the same pattern as with years of schooling, where slightly more females are in primary schools, but fewer in higher education. Rural families were more reluctant to invest in educating girls than boys,particularlyathigherlevels.Betweentheagesof 12 and 14, girls generally dropped out of school at a higher rate than boys due to the lack of sanitary facilities at schools and a general family preference to focuslimitedresourcesontheeducationofsons.1 Kenyas free primary education is constrained by insufficient school infrastructure, overcrowding in schools, late or nondisbursement of funds by some development partners, regional enrolment disparities and the devastating impact, which HIV has had on the sector.34 Kenya also has a considerable higher enrolment in secondary education than the rest of SubSaharan Africa, but few of the pupils in secondary education are in vocational training. Almost 6 times fewer Kenyans at the age of 1524 are in vocational training

than in SubSaharan Africa. This is a problem for the quality of the labour force, and especially for youth unemployment, which has become a major problem after the 2008 financial crisis. Many developing countries indicate lack of vocational training as a structuralreasonforhighyouthunemployment. The low share of vocational training is not counterbalanced by higher tertiary education, in fact Kenyahasfewerstudentsenrollinginuniversitiesthan inSubSaharanAfrica.

VocationalTraining24
Pupilsinvocationaltraining (2009) Ratio ofpupilsinvocational studenttoallpupilsin secondaryeducation (Average20052009) Ratio ofpupilsin vocationaltrainingoutof 1524yearolds (Average20052009) Kenya Kenya SubSaharan Africa Kenya SubSaharan Africa 15,672 0.80 % 7.16 % 0.27% 1.72 %

16

Social Protection
In 2010 3% of Kenyas GDP went to social protection, of this 43% came from the government, 38% from multilateral and bilateral development partners and 18% from contributory programmes (NSSF & NHIF) in Kenya.35 Government spending was largely directed to Civil Service Pensions, which all government employees with retirement age at 60 can claim. Funding from developmentpartnerswententirelytosafetynets,the majority of which went to relief and recovery programmes. The relief and recovery programmes weremainlyaresponsetothedroughtin2008. Kenyahastwocontributoryprogrammes:theNational Social Security Fund (NSSF) and the National Hospital Insurance Fund (NHIF). NHIF provides hospital cover for members and their dependants, and it has 3.3 million members as of 2010, with about 7.5 million dependants. NHIF is compulsory for salaried workers and can be joined voluntarily by informal workers, with about 700,000 informal sector members covered by NHIF. Financially, the NHIF are challenged by former investments in real estate that has yielded little returns, and rising payout due to increase in informalmembersyetunchangedcontributionlevels. NSSF protects members both from the formal and informal sector against poverty and vulnerability at old age, and has 4.6 million active and inactive members as of 2010, covering 1.1 million salaried employees, 100,000 employers and 57,000 self employed. Meaning NSSF has many noncontributing members and few members from the informal sector. NSSF has been criticised for giving low retirement benefits and for 77% of funds being absorbed by administration costs, giving both employers and employees incentive to stay out of the NSSF.35 Both NSSF and NHIF are undergoing reform for efficiency and to provide better cover of informal workers, and memberships are increasing in both. It is a recent development that informal workers can join the NSSF andNHIF. Safetynetsprogrammes are implementedby different public, private or NGO agencies and tend to have few beneficiaries, with a median size of 120,000 beneficiaries per programme. Safety nets cover a maximumof27%livingbelowtheKenyanpovertyline. Theothertypesofsafetynetsthanreliefandrecovery, are programmes and projects with specified targeted beneficiaries, in the domains social cash transfer, health,educationandagriculture. The ILO convention 183 on maternity leave protection has not been ratified. Following the Employment Act of2007,maternityleaveissetat3monthsfullypaid.36 Spendingonsocialprotectionschemes37 (2010)
2010KenyaShilling 2011USD Total spending %ofGDP percapita perworker 2010KenyaShilling Publicsocial protection expenditure, incl.health (2010) 2011USD %ofGDP percapita perworker ofgovernmentrevenue 75billion $974million 2.93% $20.8 $69.5 32billion $422million 1.27% $9 $30 14%

Sourceoffundingandtypeofprogrammeforspendingonsocialprotectionschemes37 (100%=75billionKenyaShillings)
Sourceof funding
Contributory programmes; 18%

Government; 43%

Developmentpartners; 38%

Typeof programme

CivilServicePension; 36%

Safetynets andothers; 7.6%

Safetynetsandothers; 38% ReliefandRecovery; 30%(1.4%Gov)

NSSF; 9.2%

NHIF; 9.1%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

17

General Economic Performance

KeyFacts (2011)
GDP 33.6 billion USD
24

GDPpercapita(PPP),trendandforecast GDP percapita 24 (PPP) 1718 USD 171of201 countries

24

43

GNI 33.7 billion USD

Human Development 38 Index 0.509 143of187 countries

Gini Coefficient 24 (2005) 0.48 124of156 countries RuleofLaw 1.01 179of212 countries
40

3,000 2,500 CurrentUSD 2,000 1,500 1,000 500 0 2017 2016 2015 2014 2013 2012 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 2001 2000

Doing 39 business 109of183 countries

Controlof 40 corruption 0.92 173of212 countries

Government 40 effectiveness 0.54 136of212 countries

Kenya

SubSaharanAfrica(excl.SouthAfrica)
43

Inflation,trendandforecast,3yearaverages
1 0.9 0.8 0.7 0.6 0.5 0.4 0.3 0.2 0.1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 #REFERENCE! #REFERENCE!
24

Though having a low growth in 2011, the economy is set to reach 5% growth in 2012. Kenyas economy has indeed reached steady improvements after low growth rates in the 90s. However, Kenyas growth is below the SubSaharan Africa average expected to grow at 5.3% in 2012 and 5.6% in 2013. It is even further below that of the other four countries in the freetrade area of the East African Community, which isoneofthebestperformingregionsintheworldwith 6%growthin2012.41 Kenyas inflation has started to decline, due to lower international food and energy prices. It is expected to remain below 10% during the second half of 2012. Kenyas inflation is also expected to fall below that of the rest of Sub SaharanAfrica. According to a study by the African Development Bank42the inflation surge is mainly due rising world oil prices, with oil prices explaining 20% of the short run inflation, monetary expansion 14% and rising food prices 11%. With lower inflation, interest rates may fall, which will allow the exchange rate to return to more competitive levels andoverallspureconomicactivity.41 In later years, Kenya has had lower GDP per capita measured in PurchasingPower Parity than the rest of SubSaharan Africa, a trend which is expected to continue. Capital formation in Kenya is steady at 20% in 2010, but have been lacking behind other Sub SaharaAfricancountriesinlateryears.

Grossfixedcapitalformation(%ofGDP)
25%

20%

15%

10% 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Kenya SubSaharanAfrica

Social disparities are vast but might also reflect differences in economic opportunities. The latest World Bank GINI coefficient from in Kenya is from 2005. At 0.48 Kenya ranks 124 out of 156 countries, indicating an unequal society, where the majority do not have a share in the otherwise well performing economy. The doing business indicator ranks Kenya 109 out of 183 countries. A high ranking means the regulatory environment is more conducive to the startup and

18

operation of a local firm. Kenya scores low on Paying Taxes, Trading Across Borders, Starting a Business, but Kenya scores high at Getting Credit and Dealing with Construction Permits. In the governance indicators Control of Corruption and Rule of Law, Kenya ranks rather low, considering its relative good economic and development performance. Kenyas inadequate and infrastructure of a poor quality, is a major dampening of growth and also decreases the already low productivity of enterprises. The government do however, devotes large shares of

its revenue to infrastructure. Most transport is by road and it is expected to increase heavily, putting the road network under increased pressure, with a survey of roads in 2004 showing that only 70% of the network is 44 in a serviceable/maintainable condition. High cost of supplied energy, and the even higher cost of back-up diesel generation impacts firms, and unreliable electricity was estimated in 2008 to lower sales revenues of firms by 7%, and reduce GDP growth by 1.5% annually.41

Trade
Kenya plays an important role in East Africa as it is a regional centre for trade and finance. Agricultural products are the majority of the countrys export, despite Kenya being one of the highest developed nations in Africa. Kenya also has a low balance of trade, with import being more than double the export. This is mainly due to reduction of duties and quotas pursued by Kenya in the 90s, which increased imports more than exports. Kenyas main export market is EU. The exported products are mainly products which are different from what EU produces, making Kenyas trade to EU based on differences in factor endowments. However, Kenya also exports a lot to its neighbours in the East African Community. The complexity of Kenyas exports is medium for the world economies, ranking 73 out of the 128 countries, which are in the Economic Complexity Index. In SubSaharan Africa Kenya ranks 3 out of 26, making it one of the better performing countries in the region. 45 The complexity of the exports indicates how vulnerable the country is to global changes in demand, how different the know-how is and therefore the countrys potential for growth.
Kenya's main export markets (2010)44
EU; 26%

Trade and Foreign Direct Investment

Exports (2011)
46

Imports (2011)

46

FDI flow (average 2007-11) 291 million USD 0.8 % of GDP

24

FDI Stock (2011)

46

5.75 billion USD 17 % of GDP

14.81 billion USD 39 % of GDP

2.62 billion USD 7.5 % of GDP

Products share of exports (2010) 47

Animal products Mineral products Leather & Furs Wood products Machinery / Electrical Services

Vegetable products Chemicals, etc. Textiles Stone / Glass Transportation

Foodstuff Plastics / Rubbers Footwear Metals Miscellaneous

Others; 44%

Uganda; 10% Tanzania; 10%

Congo, DRC; United 4% States; 6%

19

Trade agreements Kenya is part of the East African Community (EAC), which also includes Burundi, Rwanda, Tanzania & Zanzibar and Uganda. The EAC free trade agreement from 1999 contains a labour provision with cooperation on employment and working conditions with an emphasis on gender equality and discriminatory law and practices. Likewise, the labour provision of the COMESA agreement extends to cooperation on employment conditions and labour law. 48 Kenya is also part of the 2000 Cotonou Agreement between EU and African, Caribbean and Pacific (ACP) countries, which reaffirms commitment to ILOs Fundamental Conventions and includes a labour provision on cooperation on various labour and social issues. In 2005 the EAC established a customs union and in 2010 the EAC agreed to establish full common market with free movement for workers, goods, services and capital. Freedom of association and collective bargaining is enshrined in the EAC common market in the sense that an EAC migrant worker has equal rights as a national. 49 The free movement of labour within the EAC opens up questions of how to achieve equal opportunities and equal social and labour rights for migrant workers, for example if workers can bring pensions with them across borders. On the other hand, the free movement of labour is also a source of concern in some of the EAC countries, as the countries workforces have differences in productivity and educational level (with Kenya enjoying a relatively mobile, well-educated workforce and entrepreneurship). However, the actual implementation of the economic integration have slowed down the last few years especially with regards to lifting barriers to trade and free movement of labour. Although formal tariffs are increasing abolished, trade is still challenged by non-tariff barriers and corruption. The objective of the East African trade union movement is to safeguard workers interests in the EAC, ensure that ILO standards are upheld and member states labour policies are harmonized and

the tripartite model is institutionalized, while the free movement of labour is promoted. The trade union movement has reached observer status in the EAC in 2009, and along with employers organizations they participate in ministerial summits, sectoral summits, and other summits that involve labour market issues. Through the EAC, Kenya can export duty and quota free to EU since 2008, and will have to gradually remove duties and quotas from EU exports to Kenya on most products, except the products deemed to need protection from EU imports. These include agricultural products, wines and spirits, chemicals, plastics, wood based paper, textiles and clothing - the products which dominates Kenyas exports to EU. Since 2001, Kenya has benefitted from the United States African Growth and Opportunity Act (AGOA), which is a Generalised System of Preferences. It allows duty and quota free access for some products. Kenya can be removed from AGOA, if the United States deems that Kenya among other human rights issues do not seek to uphold the ILO Core Labour Standards and have acceptable minimum wages, hours of work and occupational safety and health. Export Processing Zones (EPZ) Kenya has 41 Export Processing Zones, with around 30,000 employees contributing with 7% of national 50 mainly within the sectors of exports, apparel/garments manufacturing, pharmaceuticals and processing of tea. 51 54% of EPZ exports go to the United States under the AGOA. Labour standards are often worse in EPZs, even though all Kenyan labour laws except the Factories Act apply in EPZs. The Factories Act deals with the health, safety and welfare of an employee, who works in a factory. Notable examples are that many exemptions to the labour law are made, for example with a law that prevents women from working in industrial activities at night. A number of garment producers in the EPZs refused to recognize the Tailors and Textiles Workers Union. Workers in EPZ are especially fired for union activities. Violations of health and safety are also routinely found in the EPZs.1

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References

1 2

U.S. Department of State, Annual Country Reports on Human Rights Practices, 2011 ILO, Key Indicators of the Labour Market Database 3 LO/FTF Council 4 http://www.africaefuture.org/cowu/html/1495.html 5 http://www.nnak.or.ke/our_operations.php 6 http://www.fke-kenya.org 7 ILO, DIALOGUE, National Labour Law Profile: Kenya, June 2011 8 DANIDA, Business Development Profile, Kenya, November 2011 9 ILO, NATLEX, Kenya, The Constitution of the Republic of Kenya 10 ILO, NATLEX, Kenya, The Employment Act (No. 11 of 2007) 11 ILO, NATLEX, Kenya, The Labour Institutions Act (No. 12 of 2007) 12 ILO, NATLEX, Kenya, The Labour Relations Act (No. 14 of 2007) 13 ILO, NATLEX, Kenya, Occupational Safety and Health Act (No. 15 of 2007) 14 ILO, NATLEX, Country Profile Kenya, Basic Laws 15 ILO, NORMLEX 16 ITUC, Annual Survey of violations of Trade Union Rights, 2012 17 Tijdens & Wambugu, WageIndicator survey 2012, Wages in Kenya 18 ILO, Decent Work Country Programme (2007-2011) 19 ILO, Global Wage Report 2012/13 20 IFC, World Bank, Doing Business 2013, 10th ed. 21 African Development Bank, The Middle of the Pyramid: Dynamics of the Middle Class in Africa, April 2010 22 AfDB, OECD, UNDP, UNECA, African Economic Outlook 2012, Country Note Kenya 23 Kucera D. & Roncolato L. (2008), Informal Employment: Two contested policy issues, International Labour Review, Vol. 147 (2008). No. 4 24 World Bank, World dataBank 25 International Organization for Migration, Kenya Mobility of Health Professionals, 2012 26 ILO, IPEC, An Inventory of ILO-IPECs Contribution to the fight against child labour in Kenya, 2009 27 UNICEF, Childinfo, Statistics by Area, Child Protection 28 Kenya National Budget Survey, Kenya Integrated Household Budget Survey, 2005/06 29 ILO, Accelerating action against child labour, International Labour Conference, 99th Session 2010 30 ILO, GPE Policy Brief, Kenya, Tanzania and Uganda, Gender and Employment Dimension of Poverty, 2004 31 EATUC, Gender Stategy , 2011 32 Barro, Robert and Jong-Wha Lee, April 2010, "A New Data Set of Educational Attainment in the World, 19502010." NBER Working Paper No. 15902 33 Calculation from based on Thomas, Wang & Fan (2001), with data sets from Barro-Lee (2010) and Psacharopoulos and Arriagada (1986). 34 European Commission, DG DEVCO, Kenya Country Strategy Paper, 2008-2013 35 Republic of Kenya, Ministry of State for Planning, Kenya Social Protection Sector Review, June 2012 36 ILO, TRAVAIL, legal database, 2011 37 Republic of Kenya, Ministry of State for Planning, Kenya Social Protection Sector Review, June 2012 & World Bank World dataBank & ILO, Key Indicators of the Labour Market Database 38 Human Development Report, Global Report, Statistical Annex, 2011 39 World Bank, Ease of Doing Business Index 40 World Bank, Worldwide Governance Indicators 41 World Bank, Kenya Economic Update, June 2012, Edition No. 6

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42 43

AfDB, February 2012, Inflation Dynamics in selected East African countries: Ethiopia, Kenya, Tanzania and Uganda IMF, World Economic Outlook Databases 44 European Commission, DG DEVCO, Kenya Country Strategy Paper, 2008-2013 45 MIT, The Observatory of Economic complexity, Economic Complexity Rankings 46 CIA, World Fact Book, 2011 47 MIT, The Observatory of Economic complexity, What does Kenya Export? 48 Ebert & Posthuma, ILO, IILS, 2010, Labour provisions in trade agreements: current trends and provisions 49 EAC, Annex on the Free Movement of Workers, November 2009 50 Kenya, Export Processing Zones Authority, Annual Performance Report, 2009 51 ILO database on export processing zones (Revised), 2007

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