Internal Audit Unit

As a Government Ministry, Internal Audit is established in the Ministry of Employment Labour and Social Security primarily to institute Internal Controls and Audit. In instituting Internal Controls, Internal Audit focuses mainly on:

• • Governance

  • Risk and,

  • Controls

MANDATES

Section 10. (1)(a, b, c) of the Public Financial Management Act, 2016 prescribed that; “There shall be an Internal Audit Department within the Ministry which shall be responsible for –

• • Performing the internal audit function of the Ministry;

  • ensuring that an internal audit department, division, or unit or an Audit Committee mentioned in subsection (1) of section 75 or subsection (1) of section 76 performs its responsibilities in accordance with internationally accepted standards; and

  • Performing any other functions delegated by the Minister”.

Also, Section 75(1) of the Public Financial Management Act prescribed that;

(1) The Director of the Internal Audit Department of the Ministry may require the vote controller of a budgetary agency, subvented agency, other entity in the central government, local council, social security fund, or public enterprise to establish or maintain an internal audit department, division, or unit in the budgetary agency or entity.

 (2) An internal audit department, division, or unit of a budgetary agency or other entity established under subsection (1) shall–

• (a) Ensure strict adherence to all control procedures introduced to safeguard the assets and records of the Ministry of Employment Labour and Social Security
• (b) Monitor the execution of the budget by the Ministry and report promptly on any irregularity;
• (c) Make periodic reports on audits completed;
• (d) Review implementation of the Auditor General’s or other external auditor’s recommendations;
• (e) Review External Audit Reports and Management Letters on entities included in the general government or public enterprises in respect of which the head of the budgetary agency is the responsible authority;
• (f) Review all contracts of the Ministry for ensuring effective performance and value for money;
• (g) Continuously review effectiveness and efficiency of Internal Control Systems and procedures of the Ministry;
• (h) Offer advice on Internal Controls of the Ministry of Employment Labour and Social Security;
• (i) Review operations of the Ministry to ascertain whether results are consistent with the objectives and goals of the Ministry; and
• (j) Perform any other functions assigned to it by the head of the Ministry (Minister).

REPORTING

 As prescribed by the Public Financial Management Acts, and Regulations, the Ministry of Employment Labour and Social Security internal audit unit shall report to the Audit Committee of the Ministry and the Director of Internal Audit, Ministry of Finance and the Government Audit Committee.  Provided that the internal audit department, division, or unit shall report to the head of the agency or entity any matters directly related to the performance of the vote controller of the Ministry.

 The PFM Acts and Regulations prescribed that; an internal audit department, division, or unit of a budgetary agency or other entity shall perform its responsibilities in accordance with internationally accepted standards.

RESPONSIBILITIES

The responsibility of the internal auditor of the Ministry of Employment, Labour and Social Security are for checking and reporting short comings in connection with the Accounts, Finances and related operations of the Ministry. Also, since the prevention, detection and investigation of fraud shall be the responsibility of Management, but in conducting audit assignments the internal auditor shall be alert to opportunities, such as control weaknesses that could allow fraud; and where fraud is suspected, the appropriate authorities within the department shall be informed.  Internal audit unit within the Ministry shall examine the accounting systems, internal controls, risk management and governance processes of the Ministry.