Central Organisation of Trade Unions, PS Clash over Housing Levy Regulations

The Central Organisation of Trade Unions (COTU) has firmly denied claims that it was involved in drafting the Affordable Housing Regulations.

The denial comes amid growing concerns over the potential misuse of funds collected from Kenyan workers under the Affordable Housing Levy.

COTU Secretary General Francis Atwoli dismissed assertions made by Principal Secretary for Housing and Urban Development Charles Hinga, who had claimed that the union participated in shaping the regulatory framework guiding the Affordable Housing Programme.

“As COTU, we are clear and unequivocal that there was no consultation because if there was any, we would never have agreed to the Affordable Housing Levy being used to build amenities and infrastructure that are already budgeted for within the National Budget,” Atwoli said.

The veteran trade unionist warned that the housing levy is at risk of being diverted from its core purpose — the construction of affordable homes — to finance unrelated infrastructure projects such as roads and dams.

“If this trend continues, the Affordable Housing Levy will be used for every other development project except for what it was meant for: decent and affordable homes for workers,” he cautioned.

Atwoli called on President William Ruto to intervene, urging the Head of State to ensure that the levy remains ring-fenced for its intended purpose — the delivery of dignified, affordable housing for Kenyans.

COTU claimed the government is veering off the legal mandate of the housing programme, arguing that the current regulations open the door for the reallocation of housing funds to unrelated projects.

The union also warned that loopholes in the regulations could enable MPs to legally redirect the levy towards other ventures outside the housing sector.

Hinga has insisted that COTU was involved in both the drafting of the Affordable Housing Act and its regulations, defending the government’s decision to use housing levy funds to build markets and related amenities.

“Affordable housing is not just about putting up homes. It’s about creating complete environments where people can live, work, and thrive,” the PS said.

However, COTU has challenged Hinga to produce evidence of its involvement in drafting the regulations.

“If indeed PS Hinga claims that COTU was involved, we challenge him to produce any written resolutions, minutes, or official correspondence from COTU’s Executive Board endorsing the drafting or content of the current regulations,” Atwoli said.

“We have never received any communication from the Affordable Housing Board or from PS Hinga inviting COTU to give their views.”