Members of Parliament have warned that significant budget cuts to the State Department for Labour and Skills Development could derail crucial employment initiatives and frustrate efforts to address the country’s rising youth unemployment.

In a statement posted on the National Assembly’s social media pages on May 16, 2025, the Departmental Committee on Labour led by Vice Chairman Fabian Muli, during a meeting convened to review the upcoming financial estimates, expressed concern that the proposed 2025/26 budget allocations are insufficient to sustain key programs under the department.

“The National Assembly’s Departmental Committee on Labour has raised the alarm over substantial budgetary cuts to the State Department for Labour and Skills Development, warning that the reductions could affect vital programs and hinder the government’s efforts to tackle unemployment,” the statement reads.

“Budgetary reductions in some key projects pose a serious threat to the department’s capacity to implement essential programs and effectively fulfill its mandate,” it added.

According to the statement, among the most affected by the proposed cuts is the Labour Migration and Export initiative, which seeks to link Kenyans with job opportunities abroad.

The program, described by Principal Secretary for Labour and Skills Development Shadrack Mwadime as a game changer, as it has been touted as a solution to Kenya’s high unemployment rate, now faces uncertainty due to constrained funding.

According to Mwadime, inadequate funding and severe staffing shortages are significant obstacles limiting the department’s performance.

“There are many opportunities outside that we seek to get hold of. Kenyans will get an opportunity to work abroad and can come back to invest in our country,” he stated, as quoted in the statement.

Push for increased funding

Echoing the PS’s concerns, committee members emphasised the strategic role of skills development in unlocking job creation and boosting the economy, reaffirming their commitment to push for increased funding to safeguard employment initiatives that directly impact the livelihoods of young Kenyans.

“Members stressed the need for adequate support and resources to ensure that the department can deliver on its mandate, particularly in light of the rising unemployment levels among Kenyan youth,” the statement read in part.

The committee further pledged to continue advocating for the department during the ongoing budget deliberations, warning that underfunding risks compromising not only employment targets but also broader economic development goals.

“The committee is committed to advocating for increased funding to safeguard these programs, which are crucial to the country’s economic growth,” the statement concluded.