Sixty employees of the Geothermal Development Company (GDC) have taken the state-owned corporation to the Employment and Labour Relations Court, challenging a company-wide restructuring they say has undermined their rights and reduced benefits.
The employees, led by Evans Kiplagat Kimaiyo, filed a lawsuit in the High Court, claiming management policies were intended to “humiliate, suppress and degrade” staff.
Kimaiyo told the court that repeated emails and meetings from March to June 2025 were ignored or met with veiled threats.
Central to the dispute is the redesignation of staff from grade 8 to grade 7, which the petitioners say has negatively affected allowances.
Concerns were also raised about external recruitment plans, which employees argue risk undermining their positions while grievances remain unresolved.
Cecil Miller, lawyer for GDC, rejected the allegations as “premature.”
In an affidavit sworn by Irene N. Onyambu, GDC’s General Manager for Corporate Services, the company outlined a multi-year process involving staff surveys, union consultations, and approval from the State Corporations Advisory Committee (SCAC) in January 2024.
“The change from grade 8 to grade 7 is a move from unionisable to management status, not a demotion,” Onyambu stated.
She highlighted that while management staff do not receive overtime pay, they are entitled to a call-out allowance, and leave benefits are in line with Salaries and Remuneration Commission (SRC) guidelines.
On grievance handling, GDC presented a timeline showing that issues raised on April 25, 2025, were scheduled for review by an internal committee in late August, with follow-up meetings planned for September.
GDC also defended external recruitment as necessary to reduce overtime costs and ensure adequate staffing.
Onyambu told the court, “The petitioners are attempting to block recruitment to continue earning overtime, which is unfair and unsustainable.”
The court will now weigh whether GDC’s restructuring constitutes lawful organizational reform or a violation of employee rights.
The pending is pending hearing
