Skills Development Levy

Skills Development Levy (SDL) is a mandatory contribution that employers in certain countries, like Kenya, make to a government fund aimed at enhancing workforce skills. Typically calculated as a small percentage (e.g., 2%) of an employee’s gross monthly salary, this levy funds training programs and workforce development initiatives. Employers pay the levy regularly, and it helps ensure workers stay updated with current skills, promoting economic growth and competitiveness. The levy is part of broader efforts to support continuous professional development and improve the quality of the labor force.