Halima Rahma Yassin v Green String Network
The bottom line
#A Kenyan court ruled that cutting an employee's salary in half without her consent was constructive dismissal, awarding her Kshs. 2.27 million.
What this practically means
#Executive summary
#Key legal issues
#Whether the Claimant was constructively dismissed
Yes - the unilateral reduction of salary to half without consent was a repudiatory breach; the resignation of 3rd May 2022, documented by the letter of 13th June 2022, was involuntary.
Applying the Coca Cola East & Central Africa Ltd v Maria Kagai Ligaga test, the court found the employer's unilateral 50% salary reduction without consultation breached a fundamental term going to the root of the contract. The employer renewed the contract at full salary while paying half, so COVID-19 hardship did not excuse non-compliance with section 10(5). Causation was established; the resignation followed the breach.
Whether the employer's follow-up messages demanding a written resignation amounted to coercion
No - the claimant had already indicated on 3rd May 2022 that she would submit an official resignation; RW1's messages were a reasonable follow-up for record purposes.
The court read the WhatsApp exchanges and resignation letter together and concluded the claimant had informed the employer on 3rd May 2022 that she would submit a formal resignation letter. The director's insistence on a written resignation was a legitimate administrative follow-up, not pressure causing the resignation.
Entitlement to unpaid salary
Awarded half salary for 7 months (September 2021-March 2022) plus 3 days of May 2022, totalling Kshs. 1,080,000/-; no salary after 3rd May 2022.
RW1 admitted half salary was paid from September 2021. Correspondence showed the April 2022 salary was deposited on 21st June 2022 and the claimant acknowledged it. The claimant was found to have worked 3 days in May 2022 and was entitled to payment for those, but not beyond 3rd May 2022 when she ceased being on the shop floor.
Severance pay under clause 9 of the contract
Allowed as prayed at Kshs. 591,780/-, the contract providing 15 days' pay per year of service payable irrespective of the type of separation.
Clause 9 of the contract expressly provided for severance of 15 days' pay per year of service, prorated, not dependent on a satisfactory review and payable irrespective of the type of separation. The court declined to rewrite the parties' contract and awarded the claimed sum.
Medical expenses reimbursement
Disallowed - no evidence claims were tendered to the employer and no compliance with section 30 sick leave notification requirements.
Section 30 requires notification of illness and a medical certificate for sick leave entitlement. The claimant did not submit sick leave forms or tender medical claims for reimbursement. The employer maintained statutory NHIF cover throughout, so the claim had no basis.
Legal principles established
#- An employer cannot unilaterally reduce an employee's agreed salary without consultation and written consent; failure to pay the agreed salary amounts to repudiation of the employment contract.
- Failure to pay the agreed salary is a repudiatory breach going to the root of the contract entitling the employee to terminate and claim constructive dismissal.
- The burden of proving unfair termination or wrongful dismissal rests on the employee, on a balance of probabilities.
- A certificate of service is an automatic, unconditional right of the employee upon termination under section 51 of the Employment Act.
Court orders
#- 1.A declaration that the Claimant was constructively dismissed from employment by the respondent effective 3rd May 2022.
- 2.Compensation for constructive dismissal equivalent to 1 month's salary Kshs. 300,000/-.
- 3.Notice payment of 1 month's salary Kshs. 300,000/-.
- 4.Unpaid salary for ½ salary for 7 months (September 2021-March 2022) and 3 days salary, totalling Kshs. 1,080,000/-.
- 5.Severance payment under clause 9 of contract - Kshs. 591,780/-.
- 6.Total sum awarded Kshs. 2,271,780/- with costs and interest from judgment date.
- 7.Certificate of service to issue under section 51 of the Employment Act within 30 days of judgment through the advocate's office.
- 8.Stay of 30 days granted.
- Jurisdiction invoked
- Employment and Labour Relations Court jurisdiction under Article 162(2) of the Constitution over employment and labour relations disputes
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Halima Rahma Yassin v Green String Network", Case Analysis (2026). ELRC Cause No. E688 of 2022. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2026/2663/eng@2026-09-25
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.