The Employment and Labour Relations Court has ordered Moi University to withdraw redundancy notices issued to over 900 staff members in May 2025.
Justice Maureen Onyango ruled that the university violated legal procedures and existing court orders by issuing termination letters without proper consultation.
Moi University had announced a “right-sizing” exercise to address financial challenges arising from declining student enrolment, a high wage bill and the reintegration of staff from decommissioned campuses. On May 13, 2025, it issued redundancy and retention letters to lecturers and non-teaching staff, citing Section 40 of the Employment Act as the legal basis for the action.
However, staff unions, including the University Academic Staff Union (UASU), Kenya University Staff Union (KUSU), and Kenya Union of Domestic, Hotels, Educational Institutions and Hospitals (KUDHEIHA), filed a court petition challenging the move. They argued that Moi University failed to consult with employees and their representatives as required by law and the existing Collective Bargaining Agreements (CBA).
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On May 16, 2025, the court issued a temporary suspension of the redundancy process, ordering the university to halt any layoff actions until the matter was fully heard. Despite this, Moi University proceeded with the issuance of termination letters, prompting further legal intervention from the unions.
In her final ruling on July 24, 2025, Justice Maureen Onyango quashed all redundancy notices, citing procedural irregularities and the university’s failure to comply with court directives. The court emphasized that meaningful consultation with unions and disclosure of selection criteria are mandatory under the Employment Act. The ruling also reinforced the importance of adhering to CBA when handling staff layoffs.
Moi University had defended the redundancies as a necessary step to reduce operational costs, noting that student numbers had dropped from 48,000 to approximately 21,000. However, the court stated that financial constraints do not justify bypassing statutory requirements and employees’ rights.
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Following the ruling, all affected staff will retain their positions, and Moi University is prohibited from implementing any redundancies until it fully complies with legal consultation procedures. The case will proceed to a full hearing to determine the university’s adherence to lawful redundancy processes.
The court’s decision reinforces the legal obligations of employers in redundancy cases, especially in public institutions, and highlights the need for transparent, consultative procedures before executing workforce reductions.
By Benedict Aoya
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