G4S seeks clarity on labour policy amid industry chaos

Laurence Okelo, G4S managing director.

Photo credit: File | Nation Media Group

Security firm G4S Kenya has raised a red flag on inconsistent compliance with labour laws, warning that it is distorting competition and trapping hundreds of thousands of guards in poverty-level earnings.

Laurence Okelo, the chief executive of G4S Kenya, said that the sector, which is estimated to employ nearly one million guards, remains fragmented and poorly regulated, with some firms defying the rules on salaries, house allowance, and overtime.

“From a policy perspective, we would like to see better clarity on terms and conditions [of employment]. I think there could be enhanced enforcement…because it’s not just pay; it is pay, house allowance, overtime, and working hours,” Mr Okelo said in an interview.

“If there was complete clarity for all stakeholders, it would create a level playing field and ensure that guards receive fair remuneration and clients get value for money.”

The firm says the government should seal the loopholes in the regulatory environment through firmer and more uniform enforcement.

The renewed push by the multinational follows a February 2025 ruling by the Employment and Labour Relations Court, which upheld the Sh30,000 minimum wage for security guards announced by the Private Security Regulatory Authority (PSRA) in November 2023.

The court dismissed a petition filed by John Kipkorir on behalf of the Private Security Industry Association, challenging the notice on grounds that it lacked public participation and that minimum wages should only be set by the Ministry of Labour.

The court dismissed the challenge, affirming PSRA’s powers and effectively reviving the stalled enforcement of the higher wage level.
Currently, Kenya’s gazetted minimum wage places a day guard in the five cities of Nairobi, Mombasa, Kisumu, Nakuru, and Eldoret at Sh16,113.75 and a night guard at Sh17,976.54 per month.

The gazetted monthly pay in the industry is nearly half the Sh30,000 threshold PSRA set in 2023, but which has not been implemented due to industry resistance and multiple court battles.

Former PSRA director-general Fazul Mahamed said in March that security companies have actively undermined enforcement of the Sh30,000 minimum wage to protect their profit margins, generated on cheap labour.

“When we set the minimum wage at Sh30,000, many dismissed it as regulatory overreach. However, the courts have affirmed our position,” Mr Mahamed said.

“The enforcement has been deliberately undermined by security firms that thrive on exploitation. These firms claim they can’t afford to pay guards the legal minimum wage, yet they report billions in revenue. Their business model depends on keeping guards in poverty while they pocket the profits.”

The comments underscore long-running tensions between regulators seeking to professionalise a sector critical to national security and employers who argue that higher wage floors would push up contract costs and trigger widespread job losses.

Mr Okelo says the sector is entering an era of transformation, driven by rising client expectations and integration of technology such as surveillance systems, remote monitoring, and access-control tools.

He argues that the shift demands both better-skilled personnel and transparent wage structures that reflect evolving job requirements.
The G4S chief added that clear, enforceable standards would also protect firms that comply with the law from being undercut by rivals offering lower-priced contracts made possible by illegal underpayment.

“With proper clarity and consistent enforcement, everyone — the guard, the client, and the provider — benefits,” Mr Okelo said.

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