How to Conduct an HR Audit in Kenya: A Practical Checklist

An HR audit is a structured review of your people practices against the law and good practice. It surfaces compliance gaps and risk while they are still cheap to fix, before they become a labour dispute or a penalty. Here is what a thorough Kenyan HR audit covers.

1. Employment contracts

Every employee should have a written contract that meets the Employment Act 2007. Check that contracts exist, are signed, and cover terms, pay, hours, leave and termination.

2. HR policies and handbook

Review your policies, disciplinary and grievance procedures, leave, anti-harassment, code of conduct, for existence, legal alignment and consistent application.

3. Statutory compliance

Confirm correct registration and remittance for PAYE, NSSF, and SHIF (formerly NHIF), plus the Housing Levy. Check filing is current and accurate. See our guide to payroll, PAYE, NSSF and SHIF.

4. Records and documentation

The law requires employers to keep certain employee records. Audit personnel files for completeness, contracts, IDs, KRA PINs, leave records and disciplinary history.

5. Payroll and leave

Check that pay, overtime, and statutory leave (annual, sick, maternity and paternity) are calculated and recorded correctly.

6. Disciplinary and termination history

Review recent cases for fair reason and fair procedure, the two areas where employers most often lose unfair-dismissal claims.

What you get from an audit

A prioritised list of gaps, risk-rated, with clear actions. It turns "we think we are compliant" into "we know where we stand." Explore our HR compliance and HR consulting services, or book a free call to scope an audit for your organisation.

Disclaimer: This article is general guidance for educational purposes and is not legal advice. Statutory rates and requirements change. For advice specific to your organisation, speak to a qualified HR or legal professional.