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Court orders KCAA to reinstate and compensate employee in unfair contract non-renewal suit

In the suit, Ongwae was represented by lawyer Henry Kurauka

The Employment and Labour Relations Court in Nairobi has made a landmark ruling that found the Kenya Civil Aviation Authority (KCAA) liable for unfairly failing to renew the contract of one of its Flight Operations Inspectors, Vivia Nyakerario Ongwae after serving for nine years.

Justice Mathews Nduma, in a judgment delivered on September 25, 2025 held that the state corporation acted unreasonably, maliciously, and in violation of the constitutional rights of Ongwae.

The dispute centred on the non-renewal of Ongwae’s fixed-term contract as a Flight Operations Inspector, which expired on December 31, 2023.

In the suit, Ongwae was represented by lawyer Henry Kurauka.

The court heard that the petitioner had diligently served the KCAA under three successive contracts since 2016.

In September 2023, well within the stipulated timeframe, she formally applied for a renewal of her employment.

However, the KCAA’s Director General, Emile Arao only communicated the decision not to renew her contract via a letter dated 12th January 2024 twelve days after the contract had already lapsed.

Justice Nduma heavily criticised this delay, stating that while the employment contract gave the Director General sole discretion on renewal, it implicitly required him to communicate his decision within a reasonable time.

The judge found that the authority’s failure to do so was a breach of the contract’s terms and an unfair labour practice.

The court emphasised that the purpose of such notice clauses is to allow an employee, particularly one with significant financial commitments like a mortgage, adequate time to prepare for the end of their employment and seek alternative income.

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Furthermore, the judgment highlighted that the KCAA’s own Human Capital Advisory Committee had recommended the renewal of Ongwae’s contract, a fact the respondent did not dispute.

The court ruled that by overriding this positive recommendation without providing any reasons, the Director General violated Ongwae’s right to legitimate expectation and her right to fair administrative action as guaranteed under Articles 41 and 47 of the constitution.

Consequently, the court issued several orders in favour of the petitioner. It quashed the KCAA’s decision contained in the January 2024 letter.

It also issued a mandatory injunction compelling the authority to renew Ongwae’s contract for a term of three years, effective from the date of the judgment, on terms consistent with her previous engagements.

Additionally, the KCAA was ordered to pay general damages equivalent to six months of her salary, which amounted to Sh2,221,104, for the violation of her constitutional and contractual rights.

This sum will attract interest until fully paid, and the KCAA must also bear the costs of the legal petition.

This ruling serves as a potent reminder to all public bodies that their administrative powers, even in contractual matters, must be exercised reasonably, procedurally fairly, and in a manner that respects the legitimate expectations of employees.

The court affirmed that the constitutional principles governing public service are not merely decorative but impose substantive duties on decision-makers.

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