Formal wage employment in Kenya rose steadily from 2.74 million in 2020 to 3.21 million in 2024, reflecting broad-based growth across both private and public sectors, according to the Kenya National Bureau of Statistics (KNBS).
- •The expansion also highlights a gradual shift from traditional industries like agriculture and construction toward services, professional occupations, and social sectors.
- •The private sector remains the dominant employer, accounting for roughly 2.19 million jobs in 2024, compared with 1.02 million in the public sector.
- •Manufacturing, professional services, and business-related occupations are among the fastest-growing segments, while traditional agriculture and capital-intensive sectors such as energy and mining contribute fewer jobs relative to their economic footprint.
Education and healthcare emerge as the largest formal employers. Total employment in education rose from 563,048 in 2020 to 704,652 in 2024, driven largely by educational support roles including teaching staff. Similarly, healthcare and social work activities increased from 148,808 to 174,992, with medical and dental practices accounting for the majority of growth.
In manufacturing, employment expanded from 316,780 to 369,212, with the most rapid increases in textiles and apparel, which together grew by more than 40% over the period. Other manufacturing sub-sectors, including furniture, plastics, and printing, recorded moderate growth, while traditional food processing industries such as sugar, dairy, and meat showed slower gains.
In agriculture and forestry, historically major employers, experienced modest growth from 322,294 to 351,156 with the cultivation of cash crops like tea and coffee contributing most of the expansion. Conversely, forestry and hunting activities saw small declines, indicating limited labor absorption in these sub-sectors due to restrictive government regulations.
The transport and storage sector expanded steadily from 77,066 jobs in 2020 to 91,386 in 2024, driven by rising activity in warehousing, road freight, and transportation support services. Warehousing and storage recorded the sharpest gains, climbing from 13,272 to 21,054, reflecting the country’s shift toward logistics and distribution as e-commerce and regional trade deepen.
Employment in the information and communication (ICT) sector expanded steadily, rising from 119,140 to 151,873 positions as digital services deepened their hold across the economy. The bulk of new jobs came from telecommunications activities, which added more than 28,000 roles as mobile operators, internet providers and platform-based service firms continued to scale.
Data processing and hosting workforces also grew, mirroring the gradual shift of Kenyan businesses toward cloud infrastructure and outsourced digital back-ends. Publishing and film-related employment increased at a slower but consistent pace.
The services sector saw steady expansion. Business and professional services, including management consultancy, legal, and accounting, grew from 63,665 to 76,671, reflecting increasing demand for technical and knowledge-intensive labor. Finance, insurance, and real estate employment rose from 77,631 to 85,978, largely in the money intermediation and credit sub-sectors.
Meanwhile administrative and support service activities grew from 4,789 to 6,930 jobs. Real estate employment remained small at 4,346 jobs in 2024, rising only slightly from 3,711 in 2020, highlighting the capital-intensive nature of the sector.
Employment in construction plateaued around 2023 at roughly 235,944 jobs before dipping slightly in 2024 to 233,323 jobs, suggesting a slowdown in infrastructure projects. The sector may see a rebound in fortunes after the World Bank recently projected that it will drive the country's recovery in economic growth.
On the other hand, energy and mining sectors remain limited employers, with electricity and gas at approximately 22,451 jobs and mining at 15,475. Other sectors like arts and entertainment and jobs in extraterritorial bodies remain under the 10,000 job threshold as the sectors highly rely on freelancers and expatriates.
Overall, Kenya’s labor market trends indicate a structural shift toward services, professional occupations, and public sector employment, with traditional sectors like agriculture, mining, and energy lagging in job creation.
