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Security Guards – In a damning report released by the Kenya Revenue Authority (KRA), a troubling pattern of exploitation within major private security firms has been brought to light.
The investigation reveals a stark contrast between the wages security guards receive and the fees charged to clients, exposing a severe discrepancy in compensation.
According to the findings, security guards, entrusted with ensuring the safety of clients and their properties, are allegedly being paid meager monthly salaries ranging from Kes6,000 to Kes15,000. This stands in stark contrast to the substantial fees clients are billed, reaching up to Sh50,000 per guard.
The vast disparity between what clients are billed and the remuneration security guards receive has raised serious concerns about the ethics and fairness within the private security industry.
Furthermore, the report implicates major security companies in a significant tax evasion scandal, totaling an alarming Kes14.6 billion over the past eight years. The tactics employed by these companies allegedly include manipulating payroll records, making fictitious Value Added Tax (VAT) claims, and understating the number of employees.
The manipulation of payroll records not only deprives security guards of fair compensation but also contributes to the broader issue of tax evasion. Fictitious VAT claims and the understatement of employee numbers further exacerbate the situation, raising questions about the integrity of financial practices within these security firms.
Government are now intensifying efforts to scrutinize these alleged exploitative practices and tax evasion strategies. The focus is on ensuring fair and ethical treatment of security personnel, as well as compelling the implicated companies to rectify their tax compliance shortcomings.
This revelation has ignited public outrage and calls for immediate action to rectify the injustices faced by security guards while holding accountable those responsible for the substantial tax evasion. The ongoing investigation aims to shed light on the full extent of these practices and enact measures to safeguard the rights of security personnel and ensure the rightful contribution of these companies to the national tax coffers.
