HIGH COURT SUSPENDS PRES. RUTO`S STATE CORPORATIONS REFORM IN URGENT SUIT

The Law Society of Kenya (LSK) filed a complaint on Friday, challenging recommendations supported by the Salaries and Remuneration Commission as a blatant appropriation of the Public Service Commission's (PSC) responsibilities by the Executive. This led to the conservatory order.

LSK cited an apparent attempt to create a parallel public service under the Office of the President as justification for their claim that the Guidelines violate Articles 230 and 234 of the Constitution. In anticipation of an inter partes hearing, Judge Lawrence Mugambi issued a conservatory injunction prohibiting the respondents, acting on their behalf, from putting the Guidelines on the Management and Terms and Conditions of Service for Board Members and Staff of State Corporations into effect.

The Gazettette Notice No. 6265 Vol. CXXVI No. 70, which was published on May 24, 2024, and announced the Guidelines on the Management and Terms and Conditions of Service for Board Members and Staff of State Corporations, was likewise suspended by Mugambi.

In addition, the judge ordered that "a conservatory order be hereby issued suspending the Executive Order No. 3 of 2024 promulgating the Guidelines on the Management and Terms and Conditions of Service for Board Members and Staff of State Corporations, 2024 and further prohibiting the Respondents, their agents, or any person acting on their behalf from acting or giving effect to the Executive Order No. 3 of 2024 pending the inter partes hearing of this Application."

Within seven days following the date of service, the parties were directed by the court to submit their answers to the Petition and Application.

Violating the law

LSK requested that the Executive Order be declared unlawful and invalid by the court.

The LSK filed a petition stating that the Guidelines on Management and Terms and Conditions of Service for Board Members and Staff of State Corporations, May 2024, violate the Constitution's Article 234(2) by violating the Public Service Commission's powers and functions. "A DECLARATION be and is hereby issued that this is so," the petition said.

LSK requested that the Attorney General and other responders be prevented from enforcing the rules governing the administration and terms and conditions of employment for state corporation employees and board members by the court.

The Law Society contended that, in violation of Article 249 of the Constitution, the President, the Chief of Staff, and the Head of the Public Service had violated the constitutional independence of the Public Service Commission.

LSK requested that the Public Service Commission (PSC) be consulted to prevent the President, Chief of Staff, Head of the Public Service, and State Corporations Advisory Committee from creating, enforcing, or publishing any guidelines regarding the management of terms and conditions of service in the public sector.

Article 234(2) of the Constitution, the PSC Act, and the PSC Regulations were referenced by the petitioner.

Executive intervention

The instructions for the management of State businesses in 2024 will supersede the guidelines released in November 2004 as per President Ruto's decision, which was published in the gazette on May 24, 2024.

"I intend to instruct all State Corporation Boards to ensure the prompt implementation of the 2024 Guidelines on the Management of State Corporations (May 2024)," stated the notification.

Vice Chancellors, CEOs, board members, university council members, and vice chancellors will all receive pay bands and allowances under the updated criteria, according to Ruto.

The rules were designed to establish a new benchmark for the ethical conduct and governance of State corporation employees and board members.

According to Ruto, the goal of the guidelines is to promote responsible, efficient, and effective use of public resources while also boosting productivity at the agency and staff levels.