In a major win for employee rights in Kenya, the Employment and Labour Relations Court has ordered Safaricom PLC to pay KSh 55 million to 17 former Area Sales Managers for unfair, unprocedural, and discriminatory termination. The judgment, delivered by Justice Stella Rutto, arose from consolidated cases Cause No. 1565 of 2018 and Cause No. 70 of 2019, filed by the employees between November 29, 2018 and February 5, 2019. The claimants had accused the telecommunications giant of breaching multiple employment laws and constitutional provisions in the manner in which their contracts were terminated. The court found in their favor and ordered full compensation, including interest and costs of the suit.

The 17 claimants were employed by Safaricom as Area Sales Managers under the Consumer Business Unit, responsible for various territories across Kenya. Each had signed individual employment contracts, which included a one-month notice of termination or one month’s salary in lieu thereof. In October 2016, Safaricom piloted a project known as the Electronic Subscriber Registration Project, intended to enhance Know Your Customer (KYC) compliance using Huawei Y3 II devices. The claimants participated in this project and shared ongoing feedback with the company. However, not long after the pilot and roll-out, the claimants were summarily dismissed from their roles—without notice, disciplinary hearing, or justification.

The claimants brought suit against Safaricom seeking the following reliefs: A declaration that the termination was unlawful, unfair, and discriminatory, compensation for breach of employment contract, damages for violation of rights under sections 31, 35, 41, 44, and 45 of the Employment Act, 2007, Articles 10, 27(5), 28, 41, and 50 of the Constitution of Kenya 2010, one-month salary in lieu of notice and additionally, house allowance, per diem, and general damages, exemplary damages for inhuman and oppressive treatment, loss of future earnings, interest and costs… In delivering her verdict, Justice Stella Rutto after examining the evidence, ruled that Safaricom had violated both procedural and substantive fairness… Consequently, the court awarded compensation equivalent to ten to twelve months’ salary, one-month salary in lieu of notice, and court interest to all 17 claimants.