National Treasury Cabinet Secretary John Mbadi has announced a comprehensive audit of the government’s payroll systems, aiming to identify and eliminate discrepancies.
During an interview on October 16, Mbadi revealed that the Treasury will collaborate with the United Nations Development Programme (UNDP) Audit Firm to carry out this critical exercise.
He cited a case from another country, where an alarming 17 percent of payroll entries were identified as ghost workers, suggesting that the situation in Kenya could be even more severe.
“We are particularly concerned about the education sector, specifically the Teachers Service Commission (TSC), where funds are often lost due to payments made to non-existent employees,” he stated.
Mbadi emphasized the need for a thorough financial audit of educational expenditures.
“We intend to conduct a rigorous analysis of the funds we allocate, particularly in education. The UNDP has global expertise that will assist us in this initiative,” he explained.
The Cabinet Secretary highlighted that the government spends substantial amounts on student education, but often funds are misallocated to ghost students and fictitious schools.
He is working closely with Education Cabinet Secretary Julius Migosi to ensure a meticulous review of these financial practices.
“We have agreed that an audit is essential to rectify the misallocation of capitation funds, which currently support students who do not exist,” Mbadi noted.
Additionally, he is collaborating with Public Service Cabinet Secretary Justin Muturi to implement payroll audits, ensuring that payments are directed solely to legitimate employees.
Mbadi recalled past findings during his tenure with the Public Accounts Committee, where it was discovered that deceased teachers were still receiving salaries.
“If we can pay dead teachers, we can easily pay those who aren’t even real,” he remarked.
Furthermore, he announced plans for a new system that will seamlessly transition civil servants, including teachers, from payroll to pension upon retirement, ensuring a smooth and efficient process.
“Our goal is to automate this transition so that once you retire, your status is updated without unnecessary delays,” he said.
