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HR outsourcing in Kenya is the practice of engaging a specialist HR firm to manage some or all HR functions on behalf of an employer, including payroll processing, recruitment, Employment Act compliance, statutory deductions (PAYE, NSSF, SHIF, Housing Levy), performance management, and day-to-day HR administration. Two Max Group provides full-spectrum HR outsourcing from its Nairobi office, serving local companies, multinationals, and NGOs across East Africa.

HR outsourcing costs in Kenya depend on the scope and headcount. Payroll-only retainers typically start from KES 3,000 per employee per month, while full HR management (payroll, compliance, recruitment, advisory) is priced per engagement after a needs assessment. Two Max Group provides a clear, fixed-fee quote with no hidden charges after a short discovery call.

HR outsourcing means a specialist firm manages your HR functions while your employees remain on your payroll and entity. An Employer of Record (EOR) goes further, the EOR firm becomes the legal employer, and you have no need for a Kenya entity at all. If you already have a registered Kenya company, HR outsourcing is appropriate. If you do not have a Kenya entity and want to hire Kenyan staff, EOR is the right model.

Yes, HR outsourcing is especially well-suited to SMEs and startups that need senior HR expertise without the cost or lead time of building an in-house HR department. Two Max Group's retainer model scales from a single employee to large workforces, with the same statutory compliance standards regardless of headcount.

Kenyan employers are required to manage five main statutory deductions: PAYE (income tax at 10-35%, filed monthly on KRA iTax); NSSF (Tier I and Tier II contributions under the NSSF Act 2013); SHIF at 2.75% of gross salary (replaced NHIF in October 2024); the Affordable Housing Levy at 1.5% each from employee and employer; and NITA where applicable. All must be remitted by the 9th of each month. Two Max Group manages filing and remittance for all five.

The Employment Act, Cap 226, is Kenya's primary legislation governing employer-employee relationships. It sets minimum standards for employment contracts, notice periods, leave entitlements (21 days annual leave, 90 days maternity leave, 14 days paternity leave), termination procedures, redundancy, and employee rights. Non-compliance creates legal and financial exposure. Two Max Group keeps all contracts, policies, and HR practices aligned with the Act.

Kenyan employers are required to have written employment contracts, a sexual harassment policy, and a disciplinary procedure. Employers with 10 or more employees should also have a leave policy, a health and safety policy (under OSHA 2007), and documented grievance procedures. Two Max Group drafts and maintains all required policies as part of the HR outsourcing engagement.

Under the Employment Act, Cap 226, employees are entitled to: 21 working days of paid annual leave after 12 months of service; 90 days of fully paid maternity leave; 14 days of fully paid paternity leave; 30 days of sick leave per year (14 fully paid, 16 at half pay); and 12-13 public holidays annually. Two Max Group tracks all leave entitlements within the payroll and HR management service.

Redundancy in Kenya requires: written notice to the employee and their trade union (if applicable); a minimum notice period of 28 days for monthly-paid employees or pay in lieu; severance pay of at least 15 days' pay per completed year of service; priority of re-engagement if the role is recreated; and notification to the Labour Office. Two Max Group manages the full redundancy process, documentation, and payout calculations.

Yes. Two Max Group offers standalone payroll processing as a managed service, PAYE, NSSF, SHIF, Housing Levy, payslips, and year-end P9 certificates, without requiring full HR outsourcing. You can add HR advisory, compliance audits, or recruitment as and when needed. Most clients start with payroll and expand the scope over time.

Two Max Group typically completes onboarding within 3 to 5 business days after agreement. The process covers employee data handover, payroll reconciliation, statutory registration verification, contract audit, and assignment of your dedicated senior consultant. For larger engagements with complex compliance gaps, onboarding may take up to 10 business days.

Yes. Two Max Group's HR consultants are certified by the Institute of Human Resource Management (IHRM), Kenya's statutory body for HR professionals. The firm has operated HR outsourcing, payroll management, and employment advisory services in Kenya since 2011, with zero statutory penalties on record across all client accounts.