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Written by

Okinda Benjamin

Feb 7, 2026

5 min read

Ruto defends jobs plan amid rising layoffs

"Ruto said his adminstration is creating jobs for millions of Kenyans."

Ruto defends jobs plan amid rising layoffs background
Ruto defends jobs plan amid rising layoffs

As job losses continue to bite across key sectors of the economy, President William Ruto on Saturday defended his administration’s job creation record, insisting the government is delivering “real jobs” for young people despite mounting criticism over policies blamed for shrinking employment.

Kenya has in recent years witnessed layoffs and business closures in manufacturing, retail, construction and the media, driven by high taxes, costly electricity, expensive fuel and frequent policy shifts that have raised the cost of doing business. Employers say unpredictable regulations and delayed government payments have squeezed firms, forcing many to cut jobs or shut down.

Speaking at the Jomo Kenyatta Showground in Mombasa during the disbursement of KSh147 million under the NYOTA Business Start-Up Capital programme, President Ruto said his administration’s approach to job creation is deliberate and anchored in sectors with immediate opportunities.

“Our job creation plan is deliberate and multi-dimensional, anchored in real opportunities across key sectors. We are no longer speaking about jobs as a matter of generality. We are delivering real jobs that young people can access,” he said.

The President cited the Affordable Housing Programme and related infrastructure projects, the digital economy, labour mobility and business grants as some of the avenues the government is using to absorb unemployed youth. He also pointed to public sector recruitment, saying the government has hired 100,000 teachers over the past three years.

However, the broader public sector has faced austerity pressures, including budget cuts, hiring freezes and the non-renewal of short-term contracts, even as thousands of graduates enter a job market that remains tight.

Ruto dismissed claims that unemployed youth are being pushed into political mobilisation, saying many are focused on work and entrepreneurship.

“Our young people are focused on gainful work and doing business. Increasingly, they will not be available for political shenanigans,” he said.

At the event, the President presided over the disbursement of KSh147 million in start-up capital to 5,880 young entrepreneurs from Mombasa, Kwale and Taita-Taveta counties. The funds are meant to support small businesses, particularly in coastal counties where unemployment remains high.

Trade unions and business associations have warned that without policy stability, lower taxes and targeted support for local industries, job losses could continue to outpace job creation, deepening economic strain on households even as the government rolls out programmes it says are designed to create jobs.

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