Former chief executive officer of Brand Kenya Board Mary Munyuli Luseka has been awarded Sh7 million by the Labour Court for unfair termination.
Justice James Rika said the decision of the board to terminate her three-month contract was unfair for failing to give any specific reasons justifying the termination.
He noted that the former CEO received various letters on different dates asking her to explain certain allegations which were never indicated in the letter “to show cause”.
In the case, Ms Luseka wanted compensation of Sh162 million as damages but Justice Rika said she had not established the requests for the damages.
She did not demonstrate the prayers for salary for the remainder of her contract, general damages for breach of contract, breach of the right to fair labour practices, contravention of her right not to be victimised and aggravated damages for malicious removal from office.
The contract was supposed to run from October 3, 2016, to October 2, 2019, with a basic monthly salary of Sh360,000 but the contract was terminated on May 15, 2018, over claims that she was not diligent.
There were about 17 months to the end of the contact. Justice Rika said she cannot be blamed for not successfully completing her contractual term adding that the allegations leveled against her by the board were not substantiated through a disciplinary hearing.
She said her problems with the Board of Directors started in 2017 when the Government assigned the Kenya Achievements Campaign, Sh500 million.
The allocation sparked serious governance issues among the board members, she said adding that the board plotted to alter the Government’s approved plan for utilisation of the Sh500 million fund.
The board, however, told the court that Ms Luseka’s tenure was marked with significant failures, adding that she failed to renew staff medical cover and service vehicles.
It was also alleged that she failed to implement the situation room project, breaching a contract with a service provider and exposing the board to litigation among others. But Justice Rika said there was no report presented in court from the Auditor-General, establishing the accuracy of the claims on misuse of public resources made against the CEO.
