JUDGMENT OF THE COURT
Patrick Nyakundi, the appellant, was born on 15th July 1941. He trained as a teacher, and on 1st October 1978 was employed as an Executive Officer by the 2nd respondent, stationed at its branch at Kisii. In the course of his employment, the 2nd respondent was divided into two branches namely; Gucha and Kisii branches. As a consequence of the split, the 2nd respondent notified the appellant in a notice dated 6th January 1998, of its intention to declare the appellant redundant, which notice was to take effect on 31st January 1998. The appellant contended that the notification was in breach of the respondents’ redundancy guidelines, as the notice was backdated, and he was only served in February 1998. Subsequently, the 2nd respondent cancelled the redundancy notice, and purported to commence a new contract of employment with the appellant, where the appellant’s salary was reduced by 50%.
On 26th November 2001, the 2nd respondent served the appellant with a retirement…