Millions of Kenyans working in the informal sector could gain greater access to social protection under proposed reforms by the Federation of Kenya Employers (FKE) aimed at making contributions more flexible for workers without regular incomes.
The proposed changes could allow informal workers to make social protection contributions based on when they have money available, rather than relying on fixed monthly payments that may be difficult for people with unpredictable earnings.
Speaking during the 2026 National Social Protection Conference on Monday, October 5, FKE Executive Director Jacqueline Mugo called on the government and other stakeholders to rethink how social protection programmes are financed and delivered.
FKE is proposing the introduction of dedicated social protection financing mechanisms for informal sector workers, many of whom operate without formal employers and therefore lack the established systems through which statutory contributions are made.
Mugo noted that many Kenyans working in the informal economy do not have regular access to social protection schemes, exposing them to greater vulnerability when they lose income or are affected by economic and climate-related disruptions.
The federation is consequently calling for digital and flexible contribution systems that would enable workers with irregular earnings to contribute when they are financially able.
Such a system could particularly benefit people whose incomes fluctuate from one day or month to another, including workers operating small businesses or earning their livelihoods through informal employment.
FKE is also proposing training and employment programmes for people in the informal sector to help them develop skills, access economic opportunities and become more resilient to disruptions.
The federation argues that strengthening these workers’ skills and access to employment opportunities would make it easier for them to recover and return to work after economic shocks or climate-related events.
The proposed reforms would mark a significant shift from the conventional social protection model, where an identifiable employer facilitates regular contributions for workers with predictable incomes.
Informal workers often operate without a conventional employer who can make statutory contributions on their behalf, leaving them to navigate social protection schemes largely on their own.
The proposals could also strengthen existing efforts by the National Social Security Fund (NSSF) to bring more Kenyans outside formal employment into the retirement savings system.
NSSF already allows Kenyans without formal employment to register as Voluntary NSSF Members and make direct contributions towards their retirement through mobile money. Under the arrangement, members can contribute Ksh200 per month or Ksh4,800 annually.
NSSF also operates the Haba Haba na NSSF programme, which provides a more flexible savings option by allowing members to contribute daily, with payments starting from Ksh25.
FKE's proposals would therefore seek to build on such flexible contribution models while expanding social protection beyond workers with conventional employment arrangements.
The broader objective is to create a system that reflects the realities of Kenya's informal economy, where income can be unpredictable and workers may not have an employer to facilitate regular contributions.
