Strong labour and social protections: Key to a thriving digital economy in Kenya

Nairobi, KENYA (ILO News) – The growth of Kenya’s digital economy is creating opportunities in digital trade, business process outsourcing (BPO), freelancing and online work. However, workers in digitally enabled jobs– particularly those classified as self-employed or independent contractors– face persistent challenges in accessing labour and social protections. For instance, Lola Brittain, Research Assistant at the Oxford Internet Institute, shared that in 2023, online labour platforms operating in Kenya have not adequately met FairWork principles on pay, contracts, working conditions, workers’ representation and management.

During the fifth thematic discussion of Kenya’s Community of Practice on Digital Skills and Jobs (CoP), experts underscored the critical role of policy and regulatory frameworks that uphold decent work to attract investment and position the country as a regional leader in technology adoption.

International labour standards at the heart of a just digital transition

“The implementation of ILO conventions and recommendations remain key in shaping an equitable digital economy.”

Kephas Odhiambo, Assistant Labour Commissioner at the Ministry of Labour and Social Protection (MoLSP).

The government is prioritizing the Labour Laws Amendment Bill which seeks to address new trends in digital jobs and strengthen alignment with international labour standards. Priority areas include determining a minimum wage for digital workers, strengthening collective bargaining and dispute resolution mechanisms, extending social security and ensuring occupational safety and health.

On behalf of iWorkers Kenya, Milka Mbuthia stressed the vital role of policies in clarifying the implication of cross-border digital work on access to labour and social protections. She also highlighted the need to foster trust in national social security systems to drive enrolment and contributions. “This can be done through transparent reforms, active worker participation in policy design and targeted awareness campaigns,” said Mbuthia.

“Another cornerstone in the digital era are comprehensive data governance frameworks that balance privacy, security and usability,” stated Cecilia Mutua, Director for ICT-Data Management in the Ministry of Information, Communications and the Digital Economy (MICDE). She ensured that measures to enforce transparency of platform algorithms, a step towards accountability and eliminating bias, will be integrated into the Digital Jobs Strategy being steered by the MICDE, with support of the ILO and MoLSP.

Enhancing compliance and incentivizing formalization

Compared to traditional forms of employment, there is greater risk of informality in platform and digital work due to the higher proportion of self-employed workers. In response to this, Kenya is implementing a multi-sectoral collaboration among the MoLSP, MICDE, Ministry of Trade and the Attorney General’s Office to tackle pressing issues such as tax compliance, social security contributions and the classification of digital workers to ensure their rights and obligations are clearly defined.

Annarosa Pesole, ILO Labour Market Specialist, shared some country experiences in registering platform workers and enforcing communication and data sharing protocols for digital labour platforms. These practices have been mapped in preparation for the standard-setting discussion during the 113th session of the International Labour Conference in June 2025. Magdalene Kariuki, Associate Director at consulting firm Africa Practice, also pointed to other countries’ experiences in establishing contributory social protection schemes which Kenya can learn from.

Emerging practices from platforms and private sector actors

Besides governments, platforms also have a role to play in worker protection, says Njihia Njoroge, CEO of Bingwa, an online platform connecting clients with home service providers. “Platforms can collaborate to offer portable benefits and tailored support for worker empowerment, protection and career progression,” he explained. Adding another dimension to the conversation, Ross Stewart, CEO of Global Careers Africa, encouraged BPO companies to prioritize workers’ upskilling to meet the evolving competency needs of the digital economy.

Humphrey Muchuma, CEO of Inua AI, shared their enterprise’s promising experience in driving business productivity and worker satisfaction by improving wages and benefits, providing continuous professional development and establishing transparent policies. “It can certainly be a challenge to balance competitive pricing with sustainable profit margins that allow investments in worker welfare, but it is possible,” he stated.

Knowing that continued dialogue and collaboration among stakeholders are essential to shaping policies, ILO intends to encourage these discussions. Together with our partners, we aim to secure fair, inclusive, and sustainable growth for Kenya’s digital workforce and economy.

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The CoP is facilitated by the PROSPECTS programme in Kenya and the Opportunity Fund project on the Promotion, inclusion and protection of refugees and host communities in the gig economy, with the generous funding of the Kingdom of the Netherlands.