Josephine M. Ndungu & others v Plan International Inc [2019] KEELRC 663 (KLR)
The bottom line
#Kenya's Employment Court upheld Plan International's 2014 redundancies, confirming employers may require affected staff to reapply for restructured jobs.
What this practically means
#Executive summary
#Key legal issues
#Whether the redundancy was justified (valid reason)
The restructuring and resulting redundancy were justified and lawful, based on staff-raised issues of structure and reduced funding, with the report approved by CMT majority, the Country Director, Regional Director and ROMT
The court found the respondent faced organisational difficulties raised by staff and reduced donor funding, justifying the review. The consultant was competitively picked, and the report was approved by the majority of the CMT, Country Director, Regional Director and ROMT; even a CMT rejection could be overruled by the Country Director under the CMT Charter. The claimants declined to reapply for available positions, so the employer was justified in laying them off.
Whether the statutory procedure under section 40 of the Employment Act was complied with
Section 40(1)(b) and (f) were complied with: claimants received six months' notice or salary in lieu, and the notice to the labour office, though addressed to the Cabinet Secretary, was an excusable error as the intended statutory purpose was served
The claimants received individual redundancy notices and the respondent's policy manual entitled them to six months' notice or payment in lieu. The notice was served on the Cabinet Secretary rather than the labour officer in charge of the area, and not on the Kilifi labour office, but the court held the error excusable since the notice reached the correct government office of Labour and the statutory purpose was served.
Whether the selection criteria under section 40(1)(c) were met
Section 40(1)(c) was complied with because the claimants were advised to reapply for the new or downsized positions and declined, thereby opting to exit through redundancy
The employer advertised the new and downsized positions and advised the claimants to apply. Their refusal meant they could not be considered for the jobs, and the employer could not force appointment on the 6th and 7th claimants who resigned. Had they applied, the statutory criteria of seniority, skill and ability would have applied to selection.
Whether the claimants were discriminated against
The discrimination claim failed; the claimants were treated like all other staff during the restructuring and redundancy exercise
In light of the finding that the restructuring and redundancy were justified and procedurally fair, the court held the discrimination claim lacked merit. The evidence showed the claimants' views were sought, they received the same memos, redundancy notices and dues computed the same way as other staff.
Whether the claimants were defamed
No defamation was established; no evidence of publication to third parties lowering the claimants' reputation
The claimants alleged defamation through disciplinary proceedings and removal from committees or bank signatory status, but no third-party evidence of publication was adduced. Membership of committees and bank signatory status are at the employer's discretion, and an employer is entitled to investigate suspected misconduct; being cleared after investigation does not found a defamation claim.
Legal principles established
#- The burden of proving unfair termination lies with the employee, who must establish a prima facie case, whereupon the employer assumes the burden of justifying the reason and proving fair procedure
- Where restructuring is done to ensure operational efficiency, an employer may require employees in affected positions to reapply for the new or downsized positions, and failure to apply means the employee has chosen to exit through redundancy
- An employee cannot sue an employer for defamation merely because disciplinary proceedings resulted in a finding of innocence
Court orders
#- 1.The suit is dismissed
- 2.Each party to bear his or her own costs
- Jurisdiction invoked
- Employment and Labour Relations Court jurisdiction over employment disputes (Employment Act, section 40, 43, 45, 47(5))
Key timeline
#Practical implications
#Frequently asked questions
#Later judgments citing this (25)
#Judgments in the corpus that rely on this one. Where the Court said how it treated the authority, that is shown.
- Beyond Fruits Limited v Said Salim Lewa[2026] KEELRC 2600 (KLR)24 Sept 2026
- Nyachieo & 9 others v Kenya Orient Insurance Ltd (Cause 179 of 2019) [2026] KEELRC 2423 (KLR)[2026] KEELRC 2423 (KLR)20 Aug 2026followed
- Kisaka v Texas Alarms (K) Limited (Appeal E013 of 2023) [2025] KEELRC 3706 (KLR)[2025] KEELRC 3706 (KLR)17 Dec 2025
- Cherop v Judicial Service Commission (Cause E037 of 2024) [2025] KEELRC 2844 (KLR)[2025] KEELRC 2844 (KLR)23 Oct 2025
- Avic International Holding Corporation v Mulwa & 19 others (Employment and Labour Relations Cause E080 of 2024 & Appeal E078, E079, E080, E081, E082, E083, E084, E085, E086, E087, E088, E089, E090, E091, E092, E093, E094, E095 & E96 of 2024 (Consolidated)) [2025] KEELRC 2770 (KLR)[2025] KEELRC 2770 (KLR)9 Oct 2025
- Kitema v Perfect Scan Limited (Appeal E039 of 2025) [2025] KEELRC 2682 (KLR)[2025] KEELRC 2682 (KLR)2 Oct 2025
- Kibocha v Internet Solutions Kenya Limited (Cause 141 of 2020) [2025] KEELRC 2518 (KLR)[2025] KEELRC 2518 (KLR)25 Sept 2025
- Mutisya v G4S Kenya Limited (Cause E238 of 2021) [2025] KEELRC 2474 (KLR)[2025] KEELRC 2474 (KLR)19 Sept 2025
- Mukabi v Public Service Commission & 3 others (Employment and Labour Relations Cause E295 of 2021) [2025] KEELRC 2165 (KLR)[2025] KEELRC 2165 (KLR)23 Jul 2025
- Nuclear Investment Limited v Kinyanjui (Appeal E008 of 2023) [2025] KEELRC 1998 (KLR)[2025] KEELRC 1998 (KLR)4 Jul 2025applied
- Koech v Ekatera Tea Kenya PLC (Cause E029 of 2023) [2025] KEELRC 1995 (KLR)[2025] KEELRC 1995 (KLR)4 Jul 2025
- Mohamed & 2 others v Pothiwalla t/a Songoro Boat Services (Appeal E019 of 2024) [2025] KEELRC 1950 (KLR)[2025] KEELRC 1950 (KLR)30 Jun 2025
- Supa Festive Limited v Wanjala (Appeal E017 of 2023) [2025] KEELRC 1685 (KLR)[2025] KEELRC 1685 (KLR)5 Jun 2025applied
- Ogayo v Zhejiang Chengjian Construction Africa Limited (Appeal E042 of 2023) [2025] KEELRC 1342 (KLR)[2025] KEELRC 1342 (KLR)9 May 2025
- Ndung’u v Ministry of Agriculture, Livestock and Fisheries & 2 others (Cause 1285 of 2018) [2025] KEELRC 1148 (KLR)[2025] KEELRC 1148 (KLR)9 Apr 2025
- Manegene v Mamba Group of Hotels Limited (Appeal E038 of 2023) [2025] KEELRC 706 (KLR)[2025] KEELRC 706 (KLR)7 Mar 2025
- Kirimi (Sued as the legal representative of the Estate of Kirimi M’Muna) v Nairobi Hospital (Cause E1048 of 2021) [2025] KEELRC 693 (KLR)[2025] KEELRC 693 (KLR)28 Feb 2025
- Ayuma v Omunga (Appeal E220 of 2023) [2025] KEELRC 673 (KLR)[2025] KEELRC 673 (KLR)28 Feb 2025
- Malivi v Mini Bakers Limited (Appeal E183 of 2022) [2025] KEELRC 526 (KLR)[2025] KEELRC 526 (KLR)24 Feb 2025
- Satia v West Kenya Sugar Company Limited (Appeal 13 of 2023) [2025] KEELRC 485 (KLR)[2025] KEELRC 485 (KLR)20 Feb 2025
- Ngila v Kenya Breweries Ltd (Employment and Labour Relations Cause E775 of 2022) [2025] KEELRC 455 (KLR)[2025] KEELRC 455 (KLR)18 Feb 2025
- Ngila v Kenya Breweries Ltd (Employment and Labour Relations Cause E775 of 2022) [2025] KEELRC 455 (KLR)[2025] KEELRC 455 (KLR)18 Feb 2025
- Finsbury Trading Limited v Kinama (Appeal E002 of 2024) [2025] KEELRC 161 (KLR)[2025] KEELRC 161 (KLR)30 Jan 2025
- Shafi v Mombasa Ocean Agency (K) Limited (Cause E125 of 2023) [2025] KEELRC 175 (KLR)[2025] KEELRC 175 (KLR)30 Jan 2025
- Juma v United Millers Limited (Appeal E009 of 2024) [2025] KEELRC 85 (KLR)[2025] KEELRC 85 (KLR)23 Jan 2025
Cite this brief
#Cite this brief
Caselaw, "Josephine M. Ndungu & others v Plan International Inc [2019] KEELRC 663 (KLR)", Case Analysis (2019). Cause 1859 of 2014. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2019/663/eng@2019-09-11
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.