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Kenya

How to Hire Workers in Kenya | Employer of Record (EOR) in Kenya

Looking to establish your business in Kenya? Our EOR services provide expert guidance on local employment regulations, ensuring a smooth entry into this market. We handle all aspects of local employment, from managing payroll to navigating complex labor laws, allowing you to focus on your core business. With our support, you can confidently expand your business into Kenya, knowing that you have a trusted partner managing your international employment needs.

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Kenya, known for its diverse wildlife, stunning landscapes, and vibrant culture, is an attractive destination for businesses looking to expand internationally. TCWGlobal serves as your trusted partner in navigating the complexities of hiring in Kenya, offering comprehensive solutions for building your contingent workforce.

With a population of over 54 million people, Kenya boasts a young and dynamic workforce. From the savannahs of the Maasai Mara to the bustling streets of Nairobi, the country offers a unique blend of culture and natural beauty.

When expanding your business into Kenya, compliance with local regulations is crucial. TCWGlobal, as your employer of record, ensures that your contingent workforce is fully compliant, minimizing risks for your organization.

In addition to compliance, TCWGlobal provides personalized services tailored to your specific needs. Whether you require assistance with payrolling management, benefits administration, or any other aspect of HR, our team is dedicated to supporting you.

Partnering with TCWGlobal guarantees a seamless and successful expansion into Kenya. Our expertise and local knowledge make us the ideal partner for businesses looking to establish a contingent workforce in this dynamic market.
Fixed-Term Contracts

Fixed-term contracts are permitted in Kenya. The term must be specified and generally is more than three months but less than six months. Repeated renewals of fixed-term contracts are permitted but may create an expectation of future renewals. A fixed-term contract may include a probationary period as outlined below. After the probationary period, 30 days notice or pay in lieu is required to terminate the agreement. The termination procedure is dependent upon the reason for the termination. If the agreement is not ended early, it will expire at the end of the term.

Probationary Periods

Probationary periods may be contractually agreed to for up to six months in either a fixed term or a permanent contract. With the Worker’s consent and contractual agreement, the period may be extended to one year. A Worker may be terminated during a probationary period with seven days’ notice or payment in lieu of the notice. A reason must be provided for the termination, or it may be deemed unfair.

Holidays

In Kenya, most Workers recognize 11 paid public holidays. If the holiday falls on a Sunday, the next working day will be recognized as a holiday. Double-pay is due for work performed on a public holiday.

Vacation

Workers are entitled to a minimum of 21 days’ leave for every year of service, which in most cases must be taken no later than 12 months after the end of the leave cycle. Accrual of leave begins after the first month. Vacation should be taken in a single consecutive period. Up to seven days may be carried over but must be used within 18 months. After 18 months, accrued leave is considered forfeited. Accrued but unused leave must be paid at the time of termination or resignation.

Sick Leave

After two months of service, Workers are entitled to seven days of full pay leave and seven days of half pay leave for every twelve months of service. A certificate of incapacity to work may be requested.

Working Hours

A workweek in Kenya is 45 hours over 5 working days, or 9 hours per day. Workers are entitled to 24 consecutive hours of rest weekly.

Overtime

Excess hours are compensated at 150%. Work performed on a Worker’s normal rest day is compensated at 200%. Workers may not work more than 6 overtime hours per week. There are no statutory exemptions for overtime.

Mandatory Bonuses

Although not mandatory, many employers elect to offer a 13th-month bonus equal to one month’s wages. It is considered a fringe benefit.

Termination

Except in cases of misconduct, termination requires just cause and notice or payment in lieu of notice. The procedure for termination varies depending upon the reason for it. However, it should include an opportunity for the Worker to defend themselves. Workers paid on a monthly basis are entitled to 30 days’ notice. In cases of redundancy (where the termination is not the fault of the Worker), severance is due equal to 15 days of pay for each year of service.  Any unused annual leave payments are due at termination.

Resignation

Workers paid on a monthly basis must give one month’s notice of resignation. The notice period may be waived, but most opt to pay for the notice period.

Unique Country Nuances

In Kenya, it is mandatory to provide reasonable housing accommodation for each Worker. Employers can either (a) provide housing, (b) pay a housing allowance equal to 15% of the Worker’s basic salary, or (c) include the housing allowance in a Worker’s salary (e.g. “consolidated salary”). 

How an EOR Can Help You Win Fast

TCWGlobal stands unmatched as the leading employer of record service provider. Our global reach, expertise in diverse industries, and commitment to client satisfaction makes us the best choice. Looking for a global employer of record or international payrolling partner that will work with you and not for you? Trust TCWGlobal. We are here for you.

Common Pitfalls in Choosing an EOR

When choosing an Employer of Record (EOR) service, people often make mistakes such as overlooking compliance, global reach, technology integration, company experience, and fee transparency. Watch this video to see what to consider when picking an EOR.