COTU opposes use of Housing Levy to build roads

By Newsflash Reporter

The Central Organisation of Trade Unions (Cotu) has opposed the government’s intention to use the Housing Levy for projects like schools, roads, and markets, insisting the funds should strictly go toward providing affordable housing for workers.

The union cautioned that such a move could divert resources from their original goal, denying workers the promised homes.

Cotu Secretary-General Francis Atwoli strongly denied claims by Housing Principal Secretary Charles Hinga that the union was consulted during the drafting of the Affordable Housing Regulations. He argued that the regulations open doors for legislators to channel levy funds into unrelated developments such as health centres, police posts, and social halls. “Cotu’s Executive Board never approved these regulations. We challenge PS Hinga to present any evidence to the contrary,” Atwoli said.

State House responds

In response, State House released documents confirming the appointment of Ernest Nadome, a Cotu official, to the committee that worked on the regulations—allegedly with Atwoli’s knowledge. The letter, authored by Hiram Kahiro on behalf of PS Hinga, was dated March 26, 2024.

PS Hinga countered Cotu’s claims, accusing the union of misleading the public. He maintained that Cotu was represented in the regulation drafting process. However, Cotu distanced itself from Nadome’s involvement, asserting he had no authority to speak or make decisions on the union’s behalf.

According to Atwoli, Nadome informed Cotu that the union was never officially consulted about the final regulations. “Equating the attendance of one individual with Cotu’s institutional stance is misleading,” he stated.

Cotu urged President William Ruto to intervene and ensure the Housing Levy is managed transparently and strictly used to deliver affordable homes, as originally intended, for Kenyan workers.

On Sunday, Nairobi Governor Johnson Sakaja supported the move, saying it will give the government room to maximise the utilization of the fund.