A high-value employment dispute involving a British tycoon–linked real estate firm and a former senior executive is unfolding before Kenya’s Employment and Labour Relations Court, raising questions around corporate governance and executive compensation in the country.
At the centre of the case is a claim exceeding Ksh364 million filed by Mr Asbury Maruza Chikwanha against companies associated with Africa Logistics Properties Management Kenya Limited and its parent, Africa Logistics Properties Holdings Limited, chaired by British aristocrat Charles George Barrington, The Lord Tryon.
Mr Chikwanha, a former executive director at the firm, argues that his exit from the company was unlawful and strategically structured to deny him equity and profit sharing benefits tied to major industrial developments.
This, he claims ,include projects at Tatu City and Tilisi valued within a portfolio exceeding a whopping Ksh13 billion.
The Claimant’s Case
According to court filings, Mr Chikwanha says he was headhunted to lead development operations but initially declined due to a significantly lower base salary compared to his previous role.
He later accepted after assurances of participation in a long term equity incentive plan.
He claims these incentives were a key inducement and were expected to generate between US$1 million and US$2 million over five years, forming the basis on which he accepted the role and helped deliver several high value projects during his tenure.
The former executive further alleges that he was removed as a director from nine subsidiaries without due process, disputing representations made to the Registrar of Companies and claiming he never received notices of meetings that led to his removal.
He also challenges the manner of his termination, stating that an initial redundancy notice issued in April 2023 was withdrawn, only for a second notice to be issued months later, culminating in a termination letter he says failed to meet statutory redundancy requirements.
Mr Chikwanha alleges discrimination, claiming that other senior executives received preferential treatment, and contends that delayed terminal payments and the swift cancellation of his work permit affected his legal and professional standing in Kenya.
The Company’s Defence
Africa Logistics Properties strongly denies the allegations, arguing that Mr Chikwanha’s written employment contract superseded any prior discussions or representations regarding equity participation or profit sharing.
The company maintains that no binding agreement existed on profit sharing and that the redundancy was part of a broader restructuring process aimed at maximising shareholder value, conducted in line with contractual and statutory requirements.
While the claimant points to institutional investors such as British International Investment and the International Finance Corporation within the shareholder base, the suit does not accuse any investor of wrongdoing, instead focusing on internal governance and employment practices.
As the case awaits determination, it places a spotlight on labour protections and transparency within multinational-backed firms operating in Kenya, with implications that could resonate beyond the parties directly involved.
