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New Bill Seeks to Scrap Some Parastatals Eliminating Government Jobs

EditorBy EditorMarch 4, 2025No Comments3 Mins Read
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New Bill Aims to Scrap Some Parastatals and Eliminate Government Jobs

The Deputy Chief of Staff in the Executive Office of the President, Eliud Owalo, recently announced that a draft bill will soon be introduced in Parliament, which will significantly change how government Ministries, Departments, and Agencies (MDAs) are funded and monitored.

While reviewing the performance of the Kenya Ports Authority (KPA), Owalo explained that the new legislation, known as the Performance Management Bill, is a response to concerns about certain underperforming government agencies.

These agencies have been seen as hindering the country’s development, and the bill is designed to address this issue.

Owalo emphasized that the new legal framework will ensure that MDAs that fail to perform will cease to exist, while those that exceed expectations will be rewarded with increased funding and resources. He stressed the importance of organizations justifying their existence by fulfilling their mandates effectively.

He further clarified that the Performance Management Bill will make performance evaluations a legal requirement. “Organizations must justify their existence based on their mandate.

To support this, we are going to ensure that performance evaluation and management are embedded in law,” Owalo explained. “The draft Bill, soon to be presented to Parliament, will become the Performance Management Act, making performance evaluations legally enforceable.”

The upcoming bill will focus on holding public institutions accountable by making performance reviews a core part of their operation. It will also introduce Service Level Agreements (SLAs) between agencies that share responsibilities or rely on each other to achieve national goals. These SLAs are expected to improve coordination between agencies and reduce inefficiencies.

Owalo also highlighted that the Performance Management Bill will require agencies like KPA to enter into agreements with other government organizations involved in their operations.

This will ensure that each organization meets its obligations within set timelines. For instance, there will be agreements in place between KPA and other agencies operating at the port, which will streamline their operations and improve efficiency.

“We will ensure that when multiple government agencies are involved, they will enter into SLAs to ensure better coordination and more effective service delivery. This will make each entity responsible for meeting deadlines,” Owalo added.

Owalo’s comments were in response to concerns raised by KPA’s Managing Director, Captain William Ruto, who pointed out that sometimes delays caused by other agencies affect KPA’s performance, even though the performance evaluations focus solely on the final outcomes. Captain Ruto suggested that the government should introduce a framework to ensure smooth multi-agency operations.

“We rely on other agencies to support us, but sometimes delays occur due to factors beyond our control. We recommend that future evaluations take into account the external factors that affect our operations,” Captain Ruto explained.

“For example, while the truck turnaround time is supposed to be three hours, delays can occur if other agencies, such as those handling the goods or managing non-functioning scanners, are involved. These issues often derail our operations.

We hope that the evaluation process will reflect the cooperation and commitment of these institutions, as well as the external challenges we face.”

This proposed bill aims to reshape the way government agencies are assessed, ensuring that efficiency and accountability become central to public service operations.

By addressing the need for performance management, clear timelines, and better inter-agency collaboration, it hopes to boost the effectiveness of public institutions in serving the Kenyan people.

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is a dedicated journalist specializing in current affairs and breaking news. She is passionate about delivering accurate, timely, and well-researched stories on politics, business, and social issues. Her commitment to journalism ensures readers stay informed with engaging and impactful news.

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