ROBA & ASSOCIATES LLP@AssociatesRoba
🚨🚨RT WIDELY: THE COURT OF APPEAL SPEAKS: IGNORE YOUR OWN CONTRACT RULES, AND THE DISMISSAL FALLS
The Court of Appeal has drawn a hard, practical line for every employer in Kenya: follow the disciplinary rules in your contract, or lose the case. In Barclays Bank of Kenya Ltd v Banking Insurance & Finance Union (on behalf of Yasmin Namsi Athman), 2020 , a long-serving employee of 23 years was dismissed after approving transactions later found to be fraudulent, costing millions. The bank insisted it had complied with the Employment Act - there was a hearing, investigations, and reasons for termination. But the employee’s side pointed to the Collective Bargaining Agreement (CBA): for negligence, the employer had to issue two written warnings before dismissal. That never happened. The real issue became stark: can an employer follow the statute but ignore its own agreed disciplinary process?
The Court was not moved by the bank’s defence. It held that a CBA is binding law, automatically forming part of the employment contract, and cannot be brushed aside. The reasoning was precise: where a contract provides a stricter or clearer disciplinary pathway than the statute, that pathway must be followed. The bank’s failure to issue the mandatory warnings made the termination procedurally unfair, regardless of the seriousness of the allegations. But the Court did not excuse the employee entirely; her failure to observe internal fraud controls contributed to the loss. As a result, while the dismissal was declared unfair, compensation was reduced from 12 months to 4. The Court enforced both discipline and fairness, no shortcuts, no free passes.
To the ordinary mwananchi, this decision lands where it matters - your job. It means employers cannot freestyle discipline or skip steps when things go wrong; if your contract or union agreement sets out a process, that process must be respected. Jurisprudentially, this is a sharp warning and a quiet empowerment: a warning to employers that procedural shortcuts will collapse even “strong” cases, and an empowerment to employees that the law will enforce the exact terms agreed, not just minimum standards. The implication is direct: read your contract, understand your workplace rules, and act the moment due process is ignored. In this legal climate, procedure is not a formality, it is your first line of defense.
Kindly repost 🙏.