TSC Phase 3 CBA Salary Review 2027: What Teachers Need to Know

The Teachers Service Commission’s 2025–2029 Collective Bargaining Agreement (CBA) introduced a four-phase salary implementation programme covering teachers employed by TSC.

The first phase took effect in July 2025, while the second phase took effect on 1 July 2026. The third phase is scheduled for 1 July 2027, followed by the fourth and final phase in July 2028.

The agreement was signed by TSC and the three recognised teacher unions — the Kenya National Union of Teachers (KNUT), Kenya Union of Post Primary Education Teachers (KUPPET), and Kenya Union of Special Needs Education Teachers (KUSNET). TSC’s reported total cost for the four-year agreement is approximately KSh33.75 billion.

For teachers, one of the most important questions is therefore:

How much will my monthly basic salary become when Phase 3 takes effect?

The answer requires some caution because, although the CBA establishes the overall salary structure and implementation period, a separate official Phase 3 conversion table has not yet been published by TSC as of September 2026.

What is already available is the current Phase 2 salary structure and the salary ranges contained in the CBA for the full implementation period. These provide a useful framework for understanding where teacher salaries are headed.

What Is TSC Phase 3 of the CBA?

The 2025–2029 TSC CBA is being implemented over four financial years.

The implementation schedule is:

CBA Phase	Period	Status
Phase 1	1 July 2025 – 30 June 2026	Implemented
Phase 2	1 July 2026 – 30 June 2027	Currently implemented
Phase 3	1 July 2027 – 30 June 2028	Scheduled
Phase 4	1 July 2028 – 30 June 2029	Final phase

TSC’s Phase 2 implementation circular confirms that the second phase became effective on 1 July 2026 and applies to teachers in service on that date, excluding intern teachers.

Therefore, when discussing TSC Phase 3 salaries, teachers should not confuse the Phase 3 date with the final salary figures under the entire 2025–2029 CBA.

Current TSC Basic Salaries Under Phase 2

Before looking at Phase 3, it is important to establish the current position.

From July 2026, teachers moved into the Phase 2 salary structure covering TSC grades B5 to D5.

The current monthly basic salary ranges are:

TSC Grade	T-Scale	Common Designation	Phase 2 Basic Salary
B5	5	Primary Teacher II	KSh 26,225 – 33,444
C1	6	Primary Teacher I / Secondary Teacher III	KSh 32,423 – 41,072
C2	7	Secondary Teacher II	KSh 41,100 – 50,287
C3	8	Secondary Teacher I	KSh 48,754 – 62,659
C4	9	Deputy Headteacher II / Senior Master IV	KSh 57,667 – 72,988
C5	10	Headteacher / Deputy Headteacher I / Senior Master III	KSh 68,948 – 82,160
D1	11	Deputy Principal III / Senior Headteacher	KSh 80,500 – 97,827
D2	12	Deputy Principal II	KSh 93,883 – 114,322
D3	13	Principal / Deputy Principal I	KSh 107,634 – 131,405
D4	14	Senior Principal	KSh 120,016 – 148,480
D5	15	Chief Principal	KSh 133,351 – 164,977

These are basic salaries, not gross salaries. The exact salary a teacher receives depends on the grade and salary point within that grade.

When Will TSC Phase 3 Salary Review Take Effect?

The third phase is scheduled to begin on:

1 July 2027

It will run through 30 June 2028.

This means teachers should not expect the Phase 3 salary adjustment to automatically appear in the 2026/27 payroll merely because the CBA covers the period up to 2029.

The current Phase 2 rates apply during the 2026/27 financial year.

The next scheduled salary-review stage is Phase 3 in July 2027.

Will All Teachers Get the Same Salary Increase?

No.

The TSC salary structure is divided into different grades and salary points.

Consequently, the financial effect of a CBA salary review depends on:

• the teacher’s TSC grade;
• the salary point within the grade;
• the teacher’s designation;
• annual salary increments;
• any promotion received;
• applicable allowances; and
• statutory deductions.

For example, a teacher in B5 cannot be expected to receive the same shilling increase as a teacher in D5.

The CBA’s overall salary award was designed to provide different adjustments across the grades, with TSC stating that the salary award could reach 29.5% across the various cadres over the agreement’s salary structure.

TSC B5 Salary: Primary Teacher II

Grade B5, T-Scale 5, is one of the most closely watched grades because it covers Primary Teacher II.

Under Phase 2, the basic monthly salary ranges from:

KSh 26,225 to KSh 33,444.

The full CBA salary structure published by TSC gives a final range of approximately:

KSh 28,620 to KSh 37,100.

This is important because the final CBA range should not be described as the confirmed Phase 3 rate.

Instead, it represents the salary level contained in the overall CBA structure.

The exact amount applicable to B5 teachers during Phase 3 will depend on the official TSC implementation/conversion tables issued for that phase.

TSC C1 Salary: Primary Teacher I and Secondary Teacher III

Grade C1, T-Scale 6, includes positions such as Primary Teacher I and Secondary Teacher III.

The current Phase 2 basic salary is:

KSh 32,423 – KSh 41,072 per month.

The final salary range published for the CBA is:

KSh 35,336 – KSh 47,261.

Therefore, C1 teachers should monitor the official Phase 3 circular because it will determine how the salary points change from the Phase 2 structure.

TSC C2 Salary: Secondary Teacher II

Grade C2, T-Scale 7, covers Secondary Teacher II.

The Phase 2 basic salary range is:

KSh 41,100 – KSh 50,287.

The published final CBA range is:

KSh 41,420 – KSh 57,230.

The difference between the minimum and maximum points demonstrates why teachers should always identify their salary point, rather than relying only on the grade.

TSC C3 Salary: Secondary Teacher I

Grade C3, T-Scale 8, covers Secondary Teacher I and related positions.

Current Phase 2 basic salary:

KSh 48,754 – KSh 62,659.

Published final CBA range:

KSh 49,781 – KSh 66,233.

The eventual Phase 3 figures should be confirmed through TSC’s official implementation circular when issued.

TSC C4 Salary: Deputy Headteacher II and Senior Master IV

Grade C4, T-Scale 9, includes positions such as:

• Deputy Headteacher II;
• Senior Master IV; and
• equivalent positions.

The Phase 2 salary range is:

KSh 57,667 – KSh 72,988.

The published final CBA range is:

KSh 58,585 – KSh 77,120.

Teachers in this grade should therefore distinguish between the current Phase 2 salary and the eventual final CBA salary.

TSC C5 Salary: Headteacher, Deputy Headteacher I and Senior Master III

Grade C5, T-Scale 10, includes several school leadership positions.

The current Phase 2 basic salary range is:

KSh 68,948 – KSh 82,160.

The final CBA salary range is published as:

KSh 69,745 – KSh 96,130.

This grade is particularly important for teachers following career progression into school leadership positions.

TSC D1 Salary: Deputy Principal III and Senior Headteacher

Grade D1, T-Scale 11, includes positions such as:

• Deputy Principal III;
• Senior Headteacher; and
• Curriculum Support Officer.

The Phase 2 basic salary range is:

KSh 80,500 – KSh 97,827.

The published final CBA range is:

KSh 80,984 – KSh 99,272.

The eventual Phase 3 salary should be confirmed by TSC rather than estimated from the final CBA figures.

TSC D2 Salary: Deputy Principal II

Grade D2, T-Scale 12, includes Deputy Principal II and equivalent positions.

Current Phase 2 basic salary:

KSh 93,883 – KSh 114,322.

Published final CBA range:

KSh 95,271 – KSh 116,012.

The teacher’s actual salary depends on the salary point.

TSC D3 Salary: Principal and Deputy Principal I

Grade D3, T-Scale 13, covers positions such as:

• Principal;
• Deputy Principal I; and
• equivalent positions.

Current Phase 2 basic salary:

KSh 107,634 – KSh 131,405.

The final CBA salary range is approximately:

KSh 109,224 – KSh 133,347.

This means that teachers promoted into D3 should monitor the relevant TSC conversion and promotion documentation to establish the applicable salary point.

TSC D4 Salary: Senior Principal

Grade D4, T-Scale 14, covers Senior Principals.

Current Phase 2 basic salary:

KSh 120,016 – KSh 148,480.

Published final CBA salary:

KSh 121,789 – KSh 150,675.

Again, these final figures should not be presented as the confirmed Phase 3 rates.

TSC D5 Salary: Chief Principal

D5 is the highest grade in the current TSC teacher salary structure.

The Phase 2 basic salary is approximately:

KSh 133,351 – KSh 164,977.

The published final CBA range is approximately:

KSh 135,321 – KSh 167,415.

A D5 teacher’s final basic salary therefore depends on the salary point reached within the grade.

Summary: Current Salary vs Published Final CBA Salary

The following table provides a useful overview.

Grade	Phase 2 Basic Salary	Published Final CBA Salary
B5	KSh 26,225 – 33,444	KSh 28,620 – 37,100
C1	KSh 32,423 – 41,072	KSh 35,336 – 47,261
C2	KSh 41,100 – 50,287	KSh 41,420 – 57,230
C3	KSh 48,754 – 62,659	KSh 49,781 – 66,233
C4	KSh 57,667 – 72,988	KSh 58,585 – 77,120
C5	KSh 68,948 – 82,160	KSh 69,745 – 96,130
D1	KSh 80,500 – 97,827	KSh 80,984 – 99,272
D2	KSh 93,883 – 114,322	KSh 95,271 – 116,012
D3	KSh 107,634 – 131,405	KSh 109,224 – 133,347
D4	KSh 120,016 – 148,480	KSh 121,789 – 150,675
D5	KSh 133,351 – 164,977	KSh 135,321 – 167,415

The Phase 2 figures are the currently applicable rates reported following the July 2026 implementation. The final-column figures come from the published CBA salary structure and represent the overall salary levels expected by the end of the four-year arrangement, not a confirmed Phase 3 table.

Why Teachers Should Not Confuse Phase 3 With the Final Salary

One of the biggest sources of confusion surrounding the 2025–2029 CBA is the publication of the full salary structure.

For example, a teacher may see:

B5: KSh 28,620 – KSh 37,100

and assume that this will automatically become the B5 salary in July 2027.

That conclusion is premature.

The CBA runs through four phases. The final salary structure reflects the completed implementation, while Phase 3 represents the third stage of the implementation process.

Therefore:

Phase 2 → July 2026

Phase 3 → July 2027

Phase 4 → July 2028

Teachers should wait for the official TSC Phase 3 implementation circular and salary conversion tables before treating a particular Phase 3 figure as final.

Does the CBA Affect Basic Salary or Gross Salary?

The CBA salary tables primarily concern basic salary.

A teacher’s monthly gross pay can be higher because of applicable allowances.

These may include:

• House allowance;
• Commuter allowance;
• Hardship allowance;
• Leave allowance; and
• Disability guide allowance where applicable.

TSC’s earlier guidance confirms that several teacher allowances are paid alongside basic salary and that certain allowances depend on the teacher’s circumstances and grade.

Therefore, a teacher should not calculate expected take-home pay by looking only at the basic salary table.

Basic Salary vs Gross Salary vs Net Salary

Understanding these three terms is essential.

Basic Salary

This is the salary attached to the teacher’s TSC grade and salary point.

For example:

B5 = KSh 26,225–33,444 under the current Phase 2 structure.

Gross Salary

Gross salary is generally the basic salary plus applicable allowances before deductions.

For example:

Basic salary + house allowance + commuter allowance + hardship allowance, where applicable = gross earnings.

Net Salary

Net salary is what remains after applicable statutory and authorised deductions.

These may include items such as:

• PAYE;
• pension contributions;
• social security contributions;
• health-related statutory contributions;
• union deductions where authorised;
• loan repayments;
• SACCO deductions; and
• other authorised third-party deductions.

Therefore, a salary increase in basic pay does not necessarily mean the teacher’s bank deposit will increase by exactly the same amount.

How Phase 3 Could Affect Teacher Take-Home Pay

When Phase 3 is implemented, the effect on take-home pay will depend on the actual salary adjustment and the teacher’s deductions.

For example, if a teacher’s basic salary increases, the change may affect:

1. Gross salary;
2. Pensionable earnings where applicable;
3. PAYE;
4. Other statutory deductions; and
5. Net salary.

This is why teachers should compare their payslips before and after implementation instead of simply adding the announced salary adjustment to their current bank payment.

Annual Salary Increment Is Different From CBA Salary Review

Teachers should also understand the difference between a CBA salary review and an annual salary increment.

TSC’s Phase 2 implementation circular states that teachers converting into the new salary scales retain their incremental dates, while annual salary increments continue according to the applicable regulations.

This means a teacher may experience two different concepts:

1. CBA salary adjustment

This results from the negotiated salary structure.

2. Annual increment

This is the movement from one salary point to another according to the applicable TSC rules.

The two should not automatically be treated as the same thing.

What Happens to Teachers Who Are Promoted?

Promotion can have a major effect on salary.

For example, a teacher who moves from one TSC grade to a higher grade may enter a new salary scale.

Consequently, teachers should distinguish between:

CBA salary review

and

salary change resulting from promotion.

A teacher promoted to a higher grade may therefore see a salary change that is not solely attributable to the CBA phase.

TSC continues to publish information on teacher promotions and related employment matters through its official channels.

What About House Allowance Under the New CBA?

House allowance is separate from basic salary.

The applicable rate depends on the teacher’s grade and duty station.

The Phase 2 implementation documentation provides different house-allowance rates for different TSC grades and location clusters.

Therefore, when calculating a teacher’s total monthly earnings, it is not enough to look at basic salary alone.

Two teachers in the same grade can have different gross earnings because their house allowance may differ according to their duty station.

What About Commuter Allowance?

Commuter allowance is also separate from basic salary.

The Phase 2 CBA implementation provides different commuter allowance levels according to grade.

For example, the documented Phase 2 rates range from KSh4,000 for B5/C1 to higher amounts for senior grades.

Teachers should therefore check the allowance applicable to their grade when estimating gross pay.

What About Hardship Allowance?

Teachers working in designated hardship areas may qualify for hardship allowance.

This is separate from the basic salary.

Consequently, two teachers in the same TSC grade may have different gross earnings depending on their duty station and eligibility for hardship allowance.

What Should Teachers Expect in July 2027?

The most important date to watch is:

1 July 2027

This is the scheduled commencement date for Phase 3.

However, teachers should wait for the official TSC circular before treating any social-media salary table as an official Phase 3 payroll rate.

The official TSC website provides access to circulars, CBA information, salary-related information and T-PAY services.

How Teachers Can Check Their New Salary

When the Phase 3 implementation is officially released, teachers can verify their salary through several steps.

Step 1: Identify Your TSC Grade

Determine whether you are in:

• B5
• C1
• C2
• C3
• C4
• C5
• D1
• D2
• D3
• D4
• D5

Step 2: Check Your Salary Point

Your grade has several salary points.

Your exact basic salary depends on the point applicable to you.

Step 3: Check the TSC Circular

Look for the official Phase 3 implementation circular.

Step 4: Check Your Payslip

Once the new rates are implemented, compare your payslip with the official salary conversion table.

Step 5: Check Allowances Separately

Check house allowance, commuter allowance and any applicable hardship or other allowances.

Step 6: Check Deductions

Finally, compare statutory and authorised deductions to determine the effect on your net pay.

Why the Official TSC Circular Matters

Salary information is frequently circulated through social media, WhatsApp groups, blogs and teacher forums.

Some of these tables may accurately reproduce official figures, while others may mix:

• Phase 1 figures;
• Phase 2 figures;
• projected final figures;
• annual increments; and
• proposed union demands.

For salary planning, the safest reference is the official TSC implementation circular and the teacher’s own payslip.

TSC maintains an official downloads section containing circulars and CBA documents.

Are the Phase 3 Salaries Already Confirmed?

The Phase 3 implementation date is established, but a separate Phase 3 salary conversion table should not be treated as confirmed until TSC publishes it.

This distinction is important.

The CBA already establishes the overall four-year salary framework, and TSC has published the salary structure associated with the agreement.

However, the currently available Phase 2 circular covers 1 July 2026 to 30 June 2027.

Therefore, any article claiming to have the exact official Phase 3 salary for every salary point before TSC releases the relevant circular should be treated carefully.

What the Published CBA Shows About the Long-Term Salary Structure

Although exact Phase 3 figures should await the official circular, the overall salary structure gives teachers an indication of the direction of the four-year review.

At the end of the CBA implementation, published salary ranges include:

• B5: KSh 28,620–37,100
• C1: KSh 35,336–47,261
• C2: KSh 41,420–57,230
• C3: KSh 49,781–66,233
• C4: KSh 58,585–77,120
• C5: KSh 69,745–96,130
• D1: KSh 80,984–99,272
• D2: KSh 95,271–116,012
• D3: KSh 109,224–133,347
• D4: KSh 121,789–150,675
• D5: KSh 135,321–167,415

These are useful for understanding the full CBA salary framework, but they should not be labelled as the confirmed July 2027 Phase 3 rates.

TSC Phase 3 CBA Salary Review: Key Dates

Date	Event
18 July 2025	2025–2029 CBA signed
1 July 2025	Phase 1 begins
30 June 2026	Phase 1 ends
1 July 2026	Phase 2 begins
30 June 2027	Phase 2 ends
1 July 2027	Phase 3 scheduled to begin
30 June 2028	Phase 3 scheduled to end
1 July 2028	Phase 4/final phase scheduled to begin
30 June 2029	CBA period ends

TSC confirmed when signing the CBA that the agreement would be implemented in four phases from July 2025 through June 2029.

Frequently Asked Questions About TSC Phase 3 Salary

When will TSC Phase 3 salary review start?

The third phase is scheduled to take effect on 1 July 2027.

How much will B5 teachers earn under Phase 3?

The exact Phase 3 salary conversion should be confirmed by TSC. The current Phase 2 range is KSh26,225–33,444, while the published final CBA range is KSh28,620–37,100.

How much will C1 teachers earn?

The current Phase 2 range is KSh32,423–41,072. The published final CBA range is KSh35,336–47,261.

How much will D5 Chief Principals earn?

The current Phase 2 range is approximately KSh133,351–164,977, while the published final CBA range is approximately KSh135,321–167,415.

Will Phase 3 increase allowances?

Basic salary and allowances are separate components. Teachers should rely on the official Phase 3 TSC circular for any specific changes to allowances.

Does the salary include house allowance?

No. The figures discussed in the salary tables are basic salary. Applicable allowances are separate.

Will all teachers receive the same increase?

No. Salary changes depend on the teacher’s grade and salary point, as well as the applicable implementation rules.

Does Phase 3 mean the final CBA salary?

No. Phase 3 is the third stage of the four-phase implementation. The final phase is scheduled for July 2028.

Conclusion

The TSC Phase 3 CBA salary review is scheduled for 1 July 2027, marking the third stage of the four-year 2025–2029 salary agreement.

At present, teachers are operating under Phase 2, which began on 1 July 2026. Current basic salaries range from approximately KSh26,225 for the lowest B5 salary point to KSh164,977 at the highest D5 salary point, depending on grade and salary point.

The CBA also provides a published final salary structure reaching approximately KSh28,620–37,100 for B5 and KSh135,321–167,415 for D5 by the end of the agreement.

However, teachers should avoid confusing those final CBA figures with the exact Phase 3 July 2027 salary rates. The definitive Phase 3 conversion should be taken from the official TSC circular issued for that phase.

For teachers planning their finances, the most useful approach is to monitor three things: the official TSC Phase 3 circular, the salary conversion table, and the first payslip issued after implementation.

The official TSC website provides access to circulars, CBA documents, T-PAY and other teacher services