State agencies ordered to pay sacked staff benefits

Written by on 3 November 2022

The Public Service Commission (PSC) has directed government departments to pay employees terminal benefits even when they have been dismissed from work.

In a circular seen by Inka FM, PSC chair Anthony Muchiri directed all heads of various departments in government to ensure all workers who have exited receive all benefits.

“In this regard, you are directed to inform officers exiting the service of their right to terminal accrued benefits irrespective of the modality of exit.”

“The commission is cognisant of the decision by the Employment and Labor Relations Court which has given guidance that any provision that requires persons who are dismissed from service forfeit all claims to pension is unconstitutional and it contravenes the clear provisions on fair labor practices and working conditions,” reads the circular.

Muchiri said that all agencies should adhere to the court ruling.

The directive by PSC comes as a reprieve to many employees who despite working for many years end up being dismissed without their terminal benefits.

House help

Justice Nduma Nderi of the Employment and Labor relations’ court ruled that it is illegal for any employer to dismiss a worker without notice and as well dismiss them without paying them their terminal benefits.

According to the judge, the employment laws state that you must give an employee, including a house help, a one-month notice before sacking them or in the alternative pay them the equivalent of a one-month salary.

“It is unlawful to terminate the employment of a house help without giving her notice. It is also illegal and unfair labor practice to send a house help away without paying her any terminal benefits and not giving her certificate of service,” ruled Nderi.

Justice Nderi made the decision in a case in which a house help challenged her sacking by her employer for asking for a salary increment. The judge awarded her a total of Sh270,964 for the unfair termination of her contract.

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