Drafting Legally Sound Employment Contracts in Kenya

Sound employment contracts in Kenya are essential for establishing a secure and professional relationship between an employer and an employee. In Kenya, vague or poorly drafted employment agreements can lead to costly legal disputes, breach of labour regulations, or employee dissatisfaction. As workplaces evolve—with emerging challenges like remote work, data protection compliance, and increased scrutiny on fair labour practices—it is crucial for every employer to have legally sound employment contracts in Kenya that are clear, enforceable, and compliant with Kenyan employment law.

Why Sound Employment Contracts Matter

A Kenyan employment contract—also referred to as an employment agreement or labour contract—is a legally binding document outlining the terms of employment. The Employment Act, 2007 mandates that all employment relationships lasting over three months must be in writing. A properly drafted employment contract in Kenya:

• Provides legal clarity on job roles, remuneration, and employee responsibilities

• Protects both the employer and the employee from potential legal claims

• Ensures compliance with Kenyan labour laws

• Defines mechanisms for resolving workplace disputes

• Protects confidential information and outlines conduct expectations

At WKA Advocates, we specialize in preparing sound employment agreements in Kenya that align with your company’s operational goals and legal obligations.

Legal Framework Governing Employment Contracts in Kenya

Employment contracts in Kenya are regulated by a combination of statutes, including:

• The Employment Act, 2007

• Labour Relations Act, 2007

• Work Injury Benefits Act (WIBA), 2007

• Occupational Safety and Health Act (OSHA), 2007

• Data Protection Act, 2019

• The Constitution of Kenya, 2010

These laws govern key elements like wages, working conditions, termination, workplace safety, and data protection.

Key Elements of a Legally Sound Employment Contract in Kenya

At WKA Advocates, we ensure each labour contract in Kenya contains core legal and practical components. These include:

1. Job Title and Description
   Clear roles, reporting lines, and performance metrics.

2. Commencement Date and Contract Type
   Specify if the contract is permanent, temporary, fixed-term, or probationary.

3. Salary and Benefits
   State gross pay, bonuses, benefits, and deductions in compliance with statutory obligations.

4. Working Hours and Leave
   Include working days, leave entitlements, sick days, maternity/paternity rights, and public holidays.

5. Termination Clause
   Detail notice periods, termination grounds, and severance pay in line with Sections 35 and 41 of the Employment Act.

6. Confidentiality Clauses
   Protect proprietary and sensitive business information.

7. Restrictive Covenants and Non-Compete Agreements
   Prevent ex-employees from unfair competition after exit.

8. Dispute Resolution Mechanism
   Include mediation steps or referral to the Employment and Labour Relations Court (ELRC).

9. Data Protection Provisions
   Address the use, storage, and security of employee personal data in line with the Data Protection Act, 2019.

10. Signatures and Acknowledgment
    The agreement must be signed by both parties with a copy retained by the employee.

Common Mistakes in Drafting Employment Agreements in Kenya

Avoid these common pitfalls when preparing employment contracts in Kenya:

• Using generic or foreign templates: May not comply with Kenyan labour law.

• Unclear probation terms: Must comply with Section 42 of the Employment Act.

• Missing termination procedures: Increases the risk of wrongful dismissal claims.

• Lack of data privacy clauses: Now a legal requirement under the Data Protection Act.

• Ambiguous non-compete terms: Courts may rule them unenforceable.

At WKA Advocates, we help clients avoid these errors by drafting customized and enforceable employment agreements.

Types of Employment Contracts We Handle

Our law firm drafts and reviews a wide range of employment agreements in Kenya, including:

• Permanent and pensionable contracts

• Fixed-term employment contracts

• Part-time and casual labour contracts

• Probationary employment agreements

• Internship and apprenticeship contracts

• Executive and director-level agreements

• Independent contractor agreements

Our Employment Contract Drafting Process

We follow a comprehensive legal drafting process to ensure our clients receive robust employment contracts:

1. Consultation & Needs Assessment
   Understanding your business model and HR structure.

2. Legal Compliance Audit
   Reviewing existing documents for compliance gaps.

3. Bespoke Contract Drafting
   Tailored to your industry, roles, and company policies.

4. Employee Onboarding Support
   We assist in communicating contract terms and collecting signatures.

5. Periodic Contract Review
   Updating contracts to reflect legal changes (e.g., minimum wage, benefits, or labour court rulings).

Why Choose WKA Advocates for Your Employment Contracts in Kenya

• ✅ In-depth knowledge of Kenyan employment and labour law

• ✅ Customized contracts for startups, SMEs, NGOs, and corporates

• ✅ Risk mitigation for wrongful termination or disputes

• ✅ Industry-specific legal advice

• ✅ Ongoing support for updates and onboarding

Employment Contracts in Kenya

Sound employment contracts in Kenya are more than legal documents—they are foundational tools that promote transparency, compliance, and good faith between employers and employees. At WKA Advocates, we go beyond templates to deliver legally enforceable, tailored employment agreements that protect your business and foster long-term productivity.

Whether you’re hiring locally or for remote work, let us help you draft contracts that are both legally secure and practically workable.

FAQs: Employment Contracts in Kenya

1. Is a written employment contract required in Kenya?
   Yes. All employment relationships exceeding three months must have written contracts.

2. What if there is no written contract?
   A verbal agreement still implies a contract, but it’s harder to prove terms in court.

3. Can an employer amend the contract after signing?
   Only with written consent from the employee.

4. How long is a probation period allowed to last?
   Up to 6 months, extendable once with consent.

5. What’s the standard notice period for termination?
   Based on the contract or Section 35 of the Employment Act (7–28 days, depending on pay frequency).

6. Are non-compete clauses valid in Kenya?
   Yes, if they are reasonable in time, scope, and geography.

7. Why avoid foreign or online contract templates?
   They may not comply with Kenya-specific labour standards or statutory obligations.

8. Do interns need employment contracts?
   Yes, to outline terms, protect both parties, and avoid liability.

9. How can WKA Advocates help with employment contracts?
   Through drafting, reviewing, compliance auditing, and policy alignment.

10. How often should employment contracts be reviewed?
    Annually or after any changes in law or company policy.