NAIROBI, Kenya – The Geothermal Development Company (GDC) has asked the Employment and Labour Relations Court to throw out a petition filed by 62 of its employees, accusing them of attempting to “double dip” on benefits meant for unionised staff while enjoying management perks.
Through lawyer Cecil Miller, the state-owned firm argued that the employees—who were redesignated from Grade 8 (unionisable) to Grade 7 (management)—want to retain allowances reserved for union members under the Collective Bargaining Agreement (CBA), such as overtime pay, despite already receiving higher salaries, house allowance, and commuter benefits accorded to management.
“It is standard human resource practice worldwide that management staff are not entitled to overtime pay,” GDC said in court papers, noting that it had instead introduced a call-out allowance for managers required to work beyond regular hours.
The company also defended its medical scheme, saying that while unionisable staff can cover a spouse and six children, managers are limited to a spouse and four children but enjoy superior benefits per beneficiary.
On hardship allowance, GDC said it is bound by government and Salaries and Remuneration Commission (SRC) directives, which have capped the payment at Sh12,300.
It also dismissed demands to raise Nakuru staff’s house allowance from Sh35,000 to Sh40,000, insisting that neither SRC nor the government has gazetted such an increase despite Nakuru’s elevation to city status.
The company further argued that the High Court had already suspended new management guidelines issued in May 2024, rendering some of the workers’ demands legally untenable.
“The petitioners want to retain union benefits while enjoying management privileges and at the same time block new graduates with similar qualifications from earning equally,” GDC warned, adding that taxpayers risk losing unrecoverable funds if the petition succeeds.
The employees, led by Evans Kiplagat Kimaiyo, had sued the company accusing it of unfair labour practices and discrimination.
They claim that their redesignation stripped them of allowances they previously enjoyed under union terms, leaving them disadvantaged compared to peers in similar state corporations.
The petitioners also criticised the medical scheme, arguing that management cover is weaker than that for unionisable staff.
They want the court to reinstate them to union terms or compel GDC to harmonise their pay and benefits with those of other public sector workers in comparable grades.
The case is pending before the Employment and Labour Relations Court in Nairobi.
