Ngokonyo & 2 others v Telkom Kenya Limited (Petition E009 of 2025) [2025] KESC 75 (KLR) (11 December 2025) (Judgment)

Ngokonyo & 2 others v Telkom Kenya Limited (Petition E009 of 2025) [2025] KESC 75 (KLR) (11 December 2025) (Judgment)

There is no statutory or contractual basis under the repealed Employment Act or the current law for payment of anticipatory salaries and allowances to employees prematurely retired in the public interest. Permanent and pensionable employment does not guarantee service until retirement age, and damages for unlawful termination are limited to notice pay and accrued benefits. The appellants, having been paid all terminal dues and one month's salary in lieu of notice, are not entitled to further compensation. The appeal is dismissed.

Citation
[2025] KESC 75 (KLR)
Parties
1st Appellant: Francis Waithaka Ngokonyo; 2nd Appellant: Sudi Abdalla; 3rd Appellant: Andrew Muga; Respondent: Telkom Kenya Limited
Court
Supreme Court
Jurisdiction
Kenya
Judgment Date
11 December 2025
Case Number
Petition E009 of 2025
Procedural Posture
Petition (appeal From Court of Appeal Judgment) / Supreme Court Final Judgment
Outcome
Appeal dismissed
Legal Topics
Premature Retirement, Anticipatory Salaries, Legitimate Expectation, Natural Justice, Public Interest Retirement, Damages for Wrongful Termination
Source Language
English
Employment Law Administrative Law Constitutional Law Premature Retirement Anticipatory Salaries Legitimate Expectation Natural Justice Public Interest Retirement +1 more

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Parties

Francis Waithaka Ngokonyo

1st Appellant

Sudi Abdalla

2nd Appellant

Andrew Muga

3rd Appellant

Telkom Kenya Limited

Respondent

Procedural Posture

Petition (appeal From Court of Appeal Judgment) / Supreme Court Final Judgment

Legal Issues

  1. 1 Whether premature retirement in public interest creates a legal or contractual basis for payment of anticipatory salaries and allowances
  2. 2 Whether the appellants were entitled to compensation beyond terminal dues after being retired in public interest

Ratio Decidendi

There is no statutory or contractual basis under the repealed Employment Act or the current law for payment of anticipatory salaries and allowances to employees prematurely retired in the public interest. Permanent and pensionable employment does not guarantee service until retirement age, and damages for unlawful termination are limited to notice pay and accrued benefits. The appellants, having been paid all terminal dues and one month's salary in lieu of notice, are not entitled to further compensation. The appeal is dismissed.

Court Disposition

Appeal dismissed

Orders

  • Judgment of the Court of Appeal dated 26th July 2024 in Civil Appeal No. 394 of 2017 is confirmed.
  • Each party to bear their own costs before the Supreme Court.