52,000 retired teachers are seeking to have their Sh42.3 billion pensions award honoured. FILE
What you need to know:
TSC has filed an application before the Court of Appeal in Nakuru, seeking leave to challenge a Sh42.3 billion pensions award in the Supreme Court.
A dispute in which 52,000 retired teachers are seeking to have their Sh42.3 billion pensions award honoured is headed to the Supreme Court after the government balked at the payout.
The Teachers Service Commission (TSC) on Wednesday filed an application before the Court of Appeal in Nakuru, seeking leave to challenge the award in the Supreme Court.
TSC, through deputy solicitor general Muthoni Kimani, told Justice Anyara Amukule that implementing the judgement would destabilise the economy.
The application was served on the retired teachers’ lawyer Dominic Kimatta.
Ms Kimani said allowances, salaries and pension arrears for the retired teachers had increased to Sh111.4 billion as of July 1, 2013 because of accrued interest. Implementing the award, she said, would increase the average national monthly pension to Sh40 billion.
The Retired Teachers of 1997 Group lawyer, Dominic Kimata, objected to the application saying the Supreme Court was inexistent when the case was determined by the Court of Appeal.
He also questioned the stand taken by TSC three years after the judgment was delivered. Mr Kimatta noted that Parliament had been allocating money every financial year since 2010 to settle the court awards.
Justice Amukule set the matter for further direction on October 15.
The Retired Teachers of 1997 Group sued TSC in 2006 claiming unpaid lumpsum salary increment and accrued pension from July 1997. The High Court and later the Court of Appeal directed TSC to pay the pensions, salary and allowance arrears to the retired teachers in 2010.
Nakuru High Court judge David Maraga ruled that retired teachers covered by the agreement dated October 11, 1997 between the TSC and Knut were entitled to their retirement benefits based on TSC Circular No 13/97.
Court of Appeal judges Moijo ole Keiwua, Onyango Otieno and Joseph Nyamu reinstated the orders after the TSC challenged the award. By February 2010, the money had accrued interest to more than Sh42.1 billion.
TSC also wants the court of appeal to stop contempt of court proceedings filed against the Director of Pensions, Anne Mugo and TSC secretary Gabriel Lengoboini.
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