Employment Laws in Kenya
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Employment Laws in Kenya

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May 29th, 2025

Employment Laws in Kenya

Kenya's employment landscape is governed by a robust legal framework designed to protect the rights of both employers and employees. The cornerstone of this framework is the Employment Act, 2007, which outlines fundamental rights, obligations, and conditions of employment. This guide provides an overview of the key aspects of Kenyan employment law.


1. The Employment Act, 2007

The Employment Act, 2007, serves as the primary legislation regulating employment in Kenya. It defines the rights and duties of employers and employees and sets the minimum terms and conditions of employment.


2. Contracts of Employment

Employment contracts in Kenya can be oral or written. However, for contracts lasting more than three months or involving work that cannot be completed within three months, a written contract is mandatory.

A valid employment contract should include:

  • Job description and title

  • Commencement date

  • Working hours

  • Remuneration details

  • Leave entitlements

  • Termination clauses


3. Employee Rights and Benefits

a. Working Hours and Rest Days

Employees are entitled to a maximum of 52 working hours per week and at least one rest day in every seven-day period.

b. Leave Entitlements

  • Annual Leave: 21 working days of paid leave after every 12 consecutive months of service.

  • Maternity Leave: Three months of fully paid maternity leave.

  • Paternity Leave: Two weeks of paid paternity leave.

  • Sick Leave: After two consecutive months of service, employees are entitled to 14 days of sick leave (7 with full pay, 7 with half pay) per year.

c. Wages and Deductions

Employers must pay wages in legal tender at regular intervals, and any deductions must be lawful and itemized.


4. Termination and Dismissal

Termination of employment must adhere to the procedures outlined in the Employment Act:

  • Notice Period: Either party may terminate the contract by giving notice or paying in lieu of notice.

  • Unfair Termination: Termination without valid reason or due process is considered unfair and may attract legal consequences.

  • Summary Dismissal: Employers may summarily dismiss employees for gross misconduct, but proper procedure must be followed.


5. Protection Against Forced Labour and Discrimination

The Employment Act prohibits:

  • Forced Labour: No individual should be compelled to work against their will.

  • Discrimination: Employment practices must not discriminate based on race, gender, religion, disability, or other protected traits.


6. Employment of Children

Kenyan law prohibits the employment of children under the age of 13. Children aged 13–16 may only do light work that is not harmful. No child should be employed during school hours or in hazardous conditions.


7. Dispute Resolution

The Employment and Labour Relations Court handles cases involving employment disputes, including unfair dismissal and discrimination. This court ensures legal redress for both employers and employees.


8. Social Security and Welfare

Both employers and employees are required to contribute to the National Social Security Fund (NSSF), which supports employees upon retirement or in the event of disability.


Conclusion

Understanding employment laws in Kenya is vital for fostering fair labor practices and ensuring compliance. The Employment Act, 2007, provides the foundation for transparent and lawful employment relationships. Employers and employees alike should stay informed and up-to-date with their rights and responsibilities.


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