Mbadi gives counties 30 days to integrate payrolls with IPPD

Treasury Cabinet Secretary John Mbadi has set a firm 30-day deadline for all county governments to integrate their payrolls into the Integrated Payroll and Personnel Database (IPPD), emphasising that compliance is non-negotiable.

The move is aimed at eliminating ghost workers and bringing sanity to county wage bills, which have been consuming unsustainable portions of revenues.

Speaking on Monday at the Kenyatta International Convention Centre (KICC) during the launch of the 2026/27 financial year and Medium-Term Budget preparations, Mbadi warned counties against delaying the adoption of the digital payroll system.

“On integrating the payroll system, we have noted that counties are still resisting. The notion that we should wait for MDAs, county assemblies, or county executives is incorrect. When will they be ready?” he asked, stressing the urgency of immediate action.

The CS noted that counties spend an average of 55 per cent of their revenues on salaries from both local collections and national government allocations. He said this practice is illegal and unsustainable, leaving little for development and public services.

Mbadi highlighted that the persistence of parallel payroll systems - manual, casual, and online - has enabled ghost workers, inflated salary bills, and a bloated workforce in many counties. Some devolved units, he said, spend over half of their annual revenue on salaries alone.

He stressed that the 30-day deadline was a strict directive, not a recommendation. “This is an instruction, and therefore, county executives must be onboarded soonest,” he said, insisting that delays would not be tolerated.

To ensure adherence, Mbadi instructed Treasury Principal Secretary Chris Kiptoo to supervise the implementation of the payroll integration. The CS said the measures are essential to eliminate ghost workers, reduce wastage, and address budget gaps in county finances.

On procurement, he also directed all ministries, departments, and state agencies to fully implement the eProcurement system. Mbadi warned that any attempts to revert to paper-based procurement, which is prone to manipulation, would be met with strict action.

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