Halima Rahma Yassin v Green String Network
The bottom line
#A Kenyan court ruled that cutting an employee's salary in half without her consent was constructive dismissal, awarding her Kshs. 2.27 million.
What this practically means
#Executive summary
#Questions the Court framed
#The issues the Court set itself to decide, in its own words.
- 1.Whether the Claimant was constructively dismissed by the Respondent.
- 2.Whether the Claimant is entitled to the reliefs sought in the Claim.
Key legal issues
#Whether the Claimant was constructively dismissed
Yes - the unilateral reduction of salary to half without consent was a repudiatory breach; the resignation of 3rd May 2022, documented by the letter of 13th June 2022, was involuntary.
Applying the Coca Cola East & Central Africa Ltd v Maria Kagai Ligaga test, the court found the employer's unilateral 50% salary reduction without consultation breached a fundamental term going to the root of the contract. The employer renewed the contract at full salary while paying half, so COVID-19 hardship did not excuse non-compliance with section 10(5). Causation was established; the resignation followed the breach.
Whether the employer's follow-up messages demanding a written resignation amounted to coercion
No - the claimant had already indicated on 3rd May 2022 that she would submit an official resignation; RW1's messages were a reasonable follow-up for record purposes.
The court read the WhatsApp exchanges and resignation letter together and concluded the claimant had informed the employer on 3rd May 2022 that she would submit a formal resignation letter. The director's insistence on a written resignation was a legitimate administrative follow-up, not pressure causing the resignation.
Entitlement to unpaid salary
Awarded half salary for 7 months (September 2021-March 2022) plus 3 days of May 2022, totalling Kshs. 1,080,000/-; no salary after 3rd May 2022.
RW1 admitted half salary was paid from September 2021. Correspondence showed the April 2022 salary was deposited on 21st June 2022 and the claimant acknowledged it. The claimant was found to have worked 3 days in May 2022 and was entitled to payment for those, but not beyond 3rd May 2022 when she ceased being on the shop floor.
Severance pay under clause 9 of the contract
Allowed as prayed at Kshs. 591,780/-, the contract providing 15 days' pay per year of service payable irrespective of the type of separation.
Clause 9 of the contract expressly provided for severance of 15 days' pay per year of service, prorated, not dependent on a satisfactory review and payable irrespective of the type of separation. The court declined to rewrite the parties' contract and awarded the claimed sum.
Medical expenses reimbursement
Disallowed - no evidence claims were tendered to the employer and no compliance with section 30 sick leave notification requirements.
Section 30 requires notification of illness and a medical certificate for sick leave entitlement. The claimant did not submit sick leave forms or tender medical claims for reimbursement. The employer maintained statutory NHIF cover throughout, so the claim had no basis.
Legal principles established
#- An employer cannot unilaterally reduce an employee's agreed salary without consultation and written consent; failure to pay the agreed salary amounts to repudiation of the employment contract.
- Failure to pay the agreed salary is a repudiatory breach going to the root of the contract entitling the employee to terminate and claim constructive dismissal.
- The burden of proving unfair termination or wrongful dismissal rests on the employee, on a balance of probabilities.
- A certificate of service is an automatic, unconditional right of the employee upon termination under section 51 of the Employment Act.
Court orders
#- 1.A declaration that the Claimant was constructively dismissed from employment by the respondent effective 3rd May 2022.
- 2.Compensation for constructive dismissal equivalent to 1 month's salary Kshs. 300,000/-.
- 3.Notice payment of 1 month's salary Kshs. 300,000/-.
- 4.Unpaid salary for ½ salary for 7 months (September 2021-March 2022) and 3 days salary, totalling Kshs. 1,080,000/-.
- 5.Severance payment under clause 9 of contract - Kshs. 591,780/-.
- 6.Total sum awarded Kshs. 2,271,780/- with costs and interest from judgment date.
- 7.Certificate of service to issue under section 51 of the Employment Act within 30 days of judgment through the advocate's office.
- 8.Stay of 30 days granted.
The bench
#One judgment of the whole court — no separate or dissenting opinions.
Wrote the judgment
- Jurisdiction invoked
- Employment and Labour Relations Court jurisdiction under Article 162(2) of the Constitution over employment and labour relations disputes
Relief refused
#Reimbursement of medical expenses of Kshs. 429,514/- (Chiromo Lane Medical Centre and Quran Centre)
Claimant did not tender medical claims for reimbursement to the employer and did not comply with section 30 of the Employment Act on sick leave notification
Unpaid 12 leave days accrued but not taken (Kshs. 118,356/-)
Not proved on balance of probabilities; period of accrual unexplained and not in the demand letter - an afterthought
Reimbursement of fees paid at NGO Coordination Board (Kshs. 4,000/-)
Disallowed as unsupported, same as the leave claim
General damages for discrimination/unfair labour practice
Unsupported; compensation for constructive dismissal suffices
Compensation of 12 months' salary for constructive dismissal
Reduced to 1 month taking into account COVID-19 financial distress and judicial notice of employer hardship
Costs
Costs and interest from judgment date awarded to the claimant.
Quotable passages
#Verbatim from the judgment, each located to the page it appears on in the official PDF — so these can be cited and checked directly.
In the upshot, I held that the claimant proved a case of constructive dismissal on account of reduction of salary to ½ without consent and in breach of the contract of employment.
Salary payment is at the core of the employment contract, and failure to comply would have entitled the claimant to terminate services and claim constructive dismissal, as she did.
The employer cannot just reduce the salary of an employee without consultation and concurrence of the employee.
The court cannot rewrite the parties' contract. The claim is allowed as prayed for Kshs. 591,780/-
a. A declaration be and is hereby issued that the Claimant was constructively dismissed from employment by the respondent effective 3rd May 2022.
Total sum awarded – Kshs 2,271,780/-
f. Costs and interest from judgment date.
g. Certificate of service to issue under section 51 of the Employment Act within 30 days of this judgment through the advocate’s office.
Stay of 30 days granted.
Issues in the judgment
#Respondent's quoted passage refers to claimant as 'him' and a 2005 breach fifteen years prior, evidently from another case
Medical insurance withdrawal date conflicts between pleadings and evidence
Typographical error in disposition on medical claim resignation year
Judgment delivery date of 2026 postdates the last hearing date of 6th October 2025 by nearly a year
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Halima Rahma Yassin v Green String Network", Case Analysis (2026). ELRC Cause No. E688 of 2022. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2026/2663/eng@2026-09-25
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.