An employer has a right to retrench an employee.

An employer has a right to retrench an employee. The Kenyan Employment Act 2007 defines retrenchment as the loss of a job or occupation through no fault of the employee. Retrenchments happen mostly where the services of the employee are no longer needed. In the case of Telkom Kenya Limited v John O. Ochanda [2013] eKLR In its obiter, the court noted the following: “The law is very clear regarding the mechanism to be applied once a decision has been reached by an employer to retrench, restructure, downsize or declare redundancy.  An employer after securing the necessary agreement is obliged to pay all the normal terminal benefits and severance pay at a given rate for each year the employee has already served. “http://kenyalaw.org/caselaw/cases/view/96237/

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s