Workers' Rights

Made Redundant — Leaving With Nothing

An employer declares a position redundant and tries to dismiss the employee without severance pay

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What They Said

“Due to restructuring, your position is no longer needed. Your last day is Friday. We are not paying severance because the business is struggling.”
Your employer announces that your role is being made redundant due to business restructuring, downsizing, or the closure of a department. They inform you that you are dismissed immediately or with minimal notice, and deny severance pay, often citing financial difficulty. Redundancy is a legitimate ground for ending employment — but it comes with strict procedural and payment obligations that many Kenyan employers attempt to bypass.

Redundancy as Clean Exit / Financial Hardship Override

The employer treats redundancy as a simple business decision that ends all obligations to the employee. Kenyan law treats redundancy as a specific legal process with mandatory steps: advance notice to the union or labour officer, selection criteria based on seniority, payment of accrued leave, one month's notice or wages in lieu, and severance pay at a minimum rate set by law. Financial difficulty does not suspend these obligations — if the business cannot pay severance, that is an insolvency matter, not a basis to dismiss without payment.

Your Legal Foundation

Employment Act, 2007 (No. 11 of 2007)
“An employer shall, before terminating employment on account of redundancy, notify the labour officer and the union, if any, of the intended redundancy at least one month before the date of the intended termination; give the employee notice of the redundancy; and in determining who is to be declared redundant, apply criteria of skills, ability, reliability and seniority.”
A redundancy without at least one month's advance notice to the relevant labour officer is procedurally defective. The employer must also apply fair selection criteria — you cannot be singled out for redundancy while others with less seniority or lesser skill keep their jobs without a clear, documented justification.
Employment Act, 2007 (No. 11 of 2007)
“On termination by reason of redundancy, an employer shall pay the employee accrued leave; and pay severance pay at a rate of not less than fifteen days pay for each completed year of service.”
Severance pay is not a discretionary benefit — it is a statutory minimum. For every full year you have worked, you are owed at least 15 days wages. On top of this, you are owed: payment of all accrued but unused annual leave, and one month's notice pay or wages in lieu. These must be paid regardless of the employer's financial position.

God's Word on This

Deuteronomy 24:14-15 (NET)
“You must not oppress a hired worker who is poor and needy, whether he is one of your fellow Israelites or one of the foreigners who is living in your land and villages. You must pay his wage that very day, before the sun sets.”
God commanded that a worker should receive what they are owed before the day ends — not withheld because of the master's convenience or financial position. A worker facing redundancy through no fault of their own has served faithfully; the law reflects the ancient principle that they leave with what is rightfully theirs.
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Common Counter-Arguments

After you respond, they may push back with these arguments. Members get the full rebuttal for each.

They might say: “We are not making you redundant — we are just changing your role. You can take the new position or resign.”
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They might say: “Your contract says redundancy pay is only one week per year — you signed it.”
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