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ELRCDismissedNairobi E&LRC Claim (initial Statement of Claim dated 5th February 2016; Further Amended Statement of Claim dated 3rd November 2022)· [2025] KEELRC 3695 (KLR)

Adhiambo v Bank of Africa Kenya Limited (Cause 205 of 2016) [2025] KEELRC 3695 (KLR)

Employment and Labour Relations Court
19 December 2025
4,166 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~17 min to read original · ~4 min brief

The bottom line

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A Kenyan court dismissed a banker's unfair termination claim because she misrepresented her job title to get hired, and also threw out the bank's huge counterclaim.

What this practically means

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Executive summary

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The Claimant, employed by the Respondent Bank as Branch Customer Service Manager from 7th January 2013 at a gross monthly salary of Kshs. 162,750, sued for unfair and unlawful termination effective 8th July 2015. She sought 12 months' salary as compensation, 7 years' salary for loss of career, damages for refusal to issue a certificate of service, general damages for mental anguish and violation of Articles 28 and 47, withdrawal of a CRB listing, an apology and recommendation letter, costs and interest. The Respondent asserted that discrepancies between the Claimant's CV, certificate of service from Consolidated Bank and interview representations - she held herself out as Branch Operations Manager when she was an Operations Officer - justified summary dismissal after two disciplinary hearings, and counterclaimed Kshs. 6,359,813 in outstanding loan facilities. The Court found the procedure substantially fair: although no show-cause letter was issued and notice of the first hearing was one day, a second hearing on 12th June 2015 cured the mischief, and no adverse decision was taken until after it. On reason, the Claimant had misrepresented her job title and signed a declaration that her information was correct; her explanation of a genuine error was unpersuasive, and in an industry founded on trust and integrity she procured employment by false pretences, satisfying Sections 43 and 45 of the Employment Act. All prayers were declined. The Counterclaim of Kshs. 6,359,813 was rejected: it was not specifically proved, appeared to violate the in duplum rule under Section 44A of the Banking Act, and at worst was usurious, especially after the Respondent recovered Kshs. 2.2 million by auctioning the Claimant's property. Both Claim and Counterclaim were rejected, with no order on costs.

Key legal issues

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01

Whether termination followed a fair procedure under Sections 41 and 45 of the Employment Act

Holding

Procedural fairness was met; deficiencies in the first hearing were cured by a second hearing over a month later

Reasoning

Although no show-cause letter was issued and only one day's notice was given for the 7th May 2015 hearing, the Claimant was granted a second hearing on 12th June 2015. She knew the allegations, was advised of her right to be accompanied, did not request more time, signed the minutes, and disputed nothing in them. No adverse decision was taken until after the second hearing.

p. 7
02

Whether termination was based on a valid reason

Holding

Yes - the Claimant misrepresented her position as Branch Operations Manager when she was an Operations Officer, breaching trust and confidence essential in banking

Reasoning

The Claimant presented herself as Branch Operations Manager at interview when she had reverted to Operations Officer in February 2012, then signed a declaration that her information was correct, with notice that false information could attract action. Her explanation of a genuine error was unpersuasive. Banking operates on trust and integrity, and she procured a managerial position by false pretences.

p. 8
03

Whether the Respondent's Counterclaim of Kshs. 6,359,813 was established

Holding

No - the sum was not specifically proved and appeared to violate the in duplum rule

Reasoning

The balance counterclaimed was Kshs. 1,921,279 as at August 2017; after recovering Kshs. 2.2 million through auction of the Claimant's property in 2020, the counterclaim inexplicably stood at more than triple that sum. The Respondent led no clear loan records to substantiate it. A line must be drawn between legitimate banking and loan sharking; the amount, if anything, was usurious.

p. 9

Legal principles established

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  • A second disciplinary hearing cures procedural deficiencies in the first (absence of show-cause letter and short notice), where the employee is ultimately heard and no adverse decision is taken until the second hearing
  • Misrepresentation of qualifications or job title in securing employment breaches the obligation of trust and confidence and constitutes valid reason for termination under Sections 43 and 45 of the Employment Act
  • A party asserting a specific monetary counterclaim must specifically establish it through clear records and oral evidence; an unexplained, escalating loan balance may violate the in duplum rule
  • Employers have no obligation to issue former employees letters of recommendation or apology

Court orders

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  1. 1.The Claim is rejected
  2. 2.The Counterclaim is rejected
  3. 3.No order on the costs
Jurisdiction invoked
First-instance employment and labour relations claim under the Employment Act and Article 162(2) jurisdiction of the E&LRC; delivered pursuant to Rule 68(5) of the E&LRC (Procedure) Rules, 2024

Key timeline

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Practical implications

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Frequently asked questions

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Cite this brief

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Cite this brief

Caselaw, "Adhiambo v Bank of Africa Kenya Limited (Cause 205 of 2016) [2025] KEELRC 3695 (KLR)", Case Analysis (2025). Nairobi E&LRC Claim (initial Statement of Claim dated 5th February 2016; Further Amended Statement of Claim dated 3rd November 2022). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2025/3695/eng@2025-12-19

Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.