The Auditor General has flagged Kenyatta University Teaching, Referral and Research Hospital (KUTRRH) for breaching employment laws by keeping retirees on the payroll
During a session with the Public Investments Committee on Social Services, Administration and Agriculture (PIC-SSAA), Members of Parliament (MPs) questioned why the hospital paid over Ksh20.8 million to staff who had surpassed the mandatory retirement age of 60.
According to the Public Investments Committee on Social Services, Administration and Agriculture (PIC-SSAA), this move goes against the hospital’s Human Resource Policy, which clearly states that retirement should occur at age 60.
A report from the Auditor-General revealed that over Ksh20.8 million was paid to staff who had surpassed the mandatory retirement age.
“The hospital appears to have disregarded its human resource policy by keeping retirees on the payroll. This raises serious accountability concerns,” Navakholo MP Emmanuel Wangwe said.
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Kenyatta University Hospital Responds to Auditor General Reports
In response, the hospital CEO Dr. Zainab Gura, said the staff mentioned had been brought in on contract during the hospital’s early setup, having transitioned from Kenyatta University.
Further, the Director of Human Resources admitted that the move was irregular but justified it as necessary during the hospital’s operational phase.
Moreover, she added that retirement procedures had been initiated, including being notified three months in advance, subjected to pre-retirement training, and issued timely contract lapse notifications.
“It was indeed an irregularity. However, during the operationalization phase, the board found it prudent to retain individuals who were familiar with the hospital’s establishment,” she told the Committee.
Additionally, the hospital CEO insisted that the affected staff are no longer in service and the issue has been resolved.
“There are currently no employees above the mandatory retirement age of 60 years. The employees referred to by the auditor were engaged on contract and were initially part of Kenyatta University, supporting the hospital’s operationalization,” added the CEO.
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Hospital Questioned Over Acting Roles
The Committee also raised concerns about officers holding acting roles for longer than six months, a violation of employment regulations.
KUTRRH CEO Dr. Zainab confirmed that the issue on retirement and other irregularities had since been resolved and the affected staff were no longer in service.
“It was a case of non-compliance, and we acknowledge it went against Section 14.3.2 (a) of our HR policy. The issue has now been addressed,” she said.
MPs urged the hospital to follow proper staffing procedures to ensure fairness and accountability in public service.
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