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The Kenya Human Rights Commission (KHRC) and the Katiba Institute filed a case to declare the Affordable Housing Act of 2024 unconstitutional. This law allowed deductions of 1.5 percent from employees' monthly gross pay, as well as a similar amount from employers, for the so-called affordable housing project.
This petition started because of the Finance Act of 2023. This law forced employees and their employers pay a housing levy.
Organizations—including KHRC—went to the High Court to challenge how this law was made in relation to housing levy deductions.
On November 28, 2023, the court said the housing levy was against the Constitution. It was unfair because only people with formal jobs had to pay for it, while those with informal jobs didn't.
On February 21, 2024, Members of Parliament passed a new law called the Affordable Housing Act of 2024, to deduct employees and employers money for the so-called "affordable houses". But the Senators didn't let people have a say before passing the law.
National Assembly and Senate reports showed that Kenyans' opinions were mostly ignored when making the Bill.
Because the Senate didn't let people participate enough, making the Bill was against the Constitution. So, the law that came out of it, the Affordable Housing Act of 2024, is also against the Constitution.
However, President William Ruto approved this law on March 19, 2024.
The law doesn't say how people without jobs should pay the housing levy. It only says people with formal jobs must pay, leaving out those with informal jobs.
Treating people differently like this is unfair, unreasonable, and against the Constitution.
Despite being called affordable housing; the law doesn't really make housing cheap. It makes it easier for rich people to buy houses while poor people stay homeless, even though they're forced to help pay for building houses.
That's why we're taking this to court. We want the court to stop the law and block the government from taking 1.5 per cent of employees' monthly gross salary and similar amounts from employers.
We also want the government to give back the money they already took from employers and employees.