Redundancy in Kenya carries procedural obligations that are frequently overlooked, and each one is a potential ground for challenge.
What the employer must do
- Notify the employee and the County Labour Officer 30 days in advance
- Apply fair selection criteria
- Offer one month's notice or pay in lieu
- Pay severance of at least 15 days per year worked
The 30-day notice is not optional
It goes to two recipients: you and the County Labour Officer. An employer who notifies only the employee has not complied.
If you were told about a redundancy with less than 30 days' notice, or if the Labour Officer was never informed, that is relevant to any complaint.
Fair selection
Where several people could be affected, the criteria used to choose must be objective and applied consistently.
Selection that targets union members, older workers, or people who raised complaints is not fair selection.
You are entitled to consultation
Redundancy entitles you to consultation, not just notification. That is your opportunity to propose alternatives.
The calculation
15 days per completed year, on your last monthly wage: monthly salary ÷ 30 × 15 × years.
Where your contract or a collective bargaining agreement provides better terms, those apply instead — and they are used in computing your terminal dues.
Everything else is still owed
Severance is in addition to all other terminal dues: outstanding salary, accrued leave, and notice pay.
If the redundancy is not genuine
If your role is filled shortly afterwards, or the stated reason does not match what happens, the redundancy may be a disguised dismissal.
Section 36 and payment in lieu
Section 36 allows either party to terminate without serving the notice period by paying the remuneration that would have been earned during it. This supports the Section 40 requirement of at least one month's wages.
Where to complain
The Labour Office, within 60 days.