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748 AIR SERVICES LIMITED
V.
THEURI MUNYI

(2017) JELR 106484 (CA)

Court of Appeal 14 Jul 2017 Kenya
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- The respondent, Munyi, was employed as Chief Accountant and later promoted to Finance Director by the appellant, an air charter company; due to financial difficulties, the company imposed a 50% salary reduction for senior management, incl

Case Details

Suit Number:Civil Appeal 310 of 2014
Judges:Philip Nyamu Waki, Roselyn Naliaka Nambuye, Patrick Omwenga Kiage
Location:Nairobi
Other Citations:748 Air Services Limited v. Theuri Munyi [2017] eKLR

JUDGMENT OF THE COURT

The appellant (hereinafter 'the Company') is an air charter company registered and operating in Kenya, though it appears to have Canadian parentage. It complains about an order made by the Industrial Court (Nderi Nduma, J.) on 4th February, 2014 for payment of Sh.2,794,364 to its employee, Theuri Munyi (Munyi) who had been declared redundant. 

The salient facts may be briefly stated:

On 24th January 2007, the company employed Munyi as its Chief Accountant at a net monthly salary of Sh.300,000 amongst other terms. On 1st June, 2007, he was promoted to Finance Director at a monthly salary of Sh.495,609. Barely a year later things started going south for the company as it was not making money due to the instability in South Sudan, its main area of operation. In April 2008, the management committee of Heads of Departments (HODs) of the company led by Munyi were tasked with exploring proposals for cost cutting measures for the company to remain in business. They proposed…

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