Every employment relationship rests on its terms. When those terms are written down clearly, both sides know where they stand and disagreements are far easier to resolve. This guide sets out what an employer in Kenya must include in an employment contract and when it has to be issued.
What must be included in an employment contract in Kenya?
The Employment Act 2007 requires a written statement of the core particulars for contracts of three months or more, and a well-drafted contract covers the following in plain language:
- The names of the employer and the employee, and the date work begins
- The job description and place of work
- The remuneration and the intervals at which it is paid
- Hours of work and rest days
- Leave entitlements, including annual leave
- The length of notice required to end the contract
When must the written contract be issued?
The Employment Act 2007 allows up to two months from the start of employment for the written particulars to be given, but there is little advantage in waiting. A contract signed before the first day of work sets expectations from the outset. Remember that the Act applies even to oral contracts; the written version simply records the bargain and prevents arguments about what was agreed.
Can you change the terms later?
Terms can be varied, but the change should be agreed and recorded in writing, and the employee notified. Unilateral changes to pay, duties or hours are a common trigger for claims, because a fundamental change may be treated as a breach. If a reorganisation or a new pay structure is planned, it is worth having the variation letters reviewed alongside your standard employment contracts.
Fixed-term and probationary arrangements
Fixed-term contracts end on their expiry date unless renewed, and ending one early carries the same duties as any other termination. Probationary arrangements may be terminated on short notice, but the probation terms must be written into the contract to apply. Queries about minimum statutory terms can be clarified through the Ministry of Labour. Our contracts practice reviews both formats for employers, within the firm’s wider practice areas.
This article was written by Charles Muriu Mathenge, who advises businesses, HR directors and boards on corporate and commercial matters at CS Advocates LLP.
For guidance on your specific situation, contact CS Advocates LLP , call, WhatsApp, or book a confidential consultation at our Westlands, Nairobi office.