Parliament has requested an audit in response to the Teachers Service Commission (TSC) being embroiled in a salary overpayment controversy, involving payments to deceased teachers
Members of Parliament have initiated an audit of the Teacher’s Service Commission (TSC) payroll, uncovering an overpayment scandal totaling Sh446 million, including payments to deceased teachers.
During a session of the National Assembly Public Accounts Committee (PAC), TSC CEO Nancy Macharia addressed audit queries raised by the Auditor General. The queries encompassed a decrease in employer contributions to National Social Security Fund (NSSF), budget overexpenditure, cash losses, and unsupported receivable balances.
Macharia acknowledged salary overpayments, attributing them to inefficient manual reporting systems. She explained that overpayments resulted from delays in stopping salaries for deceased, absent, resigned, or interdicted employees. The committee directed Macharia to clarify these overpayments. “To address the issue of salary overpayment, the commission has developed an overpayment policy and online services to improve efficiency in reporting mechanisms,” Macharia informed the MPs.
TSC has undertaken measures to recover the funds, including outreach to beneficiaries for returns. Notably, letters were sent to the families of deceased teachers who were erroneously paid, demanding repayment.
The PAC expressed concerns, with MP Wilberforce Ounda stating, “We need an audit of the payroll.”
MP Kiplagat David Kiplagat questioned the TSC’s systems, prompting the committee to inquire about a system audit by the Auditor General. The Auditor General’s report flagged an unexplained salary overpayment of Sh466,892,922 for the 2021/2022 financial year, a significant increase from the previous year. The management’s efforts to recover these overpayments were deemed doubtful.
Additionally, the committee scrutinized the under-absorption of Sh300 million allocated for teacher pensions in the 2021/2022 financial year. The Auditor General contradicted TSC’s explanations, stating that the flagged figures represented actual payments. PAC chairperson John Mbadi directed TSC and the Auditor General to provide a unified response on the unutilized funds within a week.
