The Employment and Labor Relations court has ruled that the dismissal of Michael Kariuki Nderitu by Kenya Airways Plc was unfair, awarding the former procurement officer KShs 2.08 million in compensation.
- •Justice Hellen Wasilwa found that the airline failed to demonstrate valid grounds for Nderitu’s summary dismissal in February 2020, particularly given that the dispute hinged on differing contractual interpretations between Kenya Airways and its shareholder KLM.
- •Nderitu was terminated after being accused of misinterpreting a joint contract with KLM, allegedly leading to overcharges of more than US$350,000 in late return fees for aircraft components.
- •The court discovered that both KLM and Kenya Airways had conflicting views on how those fees should have been calculated, and there was no evidence that Nderitu’s interpretation was incorrect.
“There is no evidence that the issue of the correct interpretation was subjected to ADR and the correct interpretation agreed upon by the parties. The Claimant cannot therefore be vilified for this disagreement which was even resolved by the parties as per the evidence of RW1,” the court ruled.
The judge also determined that the responsibility for resolving the ambiguity lay with the employer and that punishing an employee for acting in good faith on an unclear provision amounted to unfair dismissal. The airline was also faulted for not presenting audited financial evidence to substantiate the loss it claimed resulted from Nderitu’s conduct.
Justice Wasilwa awarded Nderitu the equivalent of one month’s salary in lieu of notice and eight months’ salary as compensation.