The case stems from a ruling by the Employment and Labour Relations Court, which found that the Ministry of Roads and Transport unlawfully failed to renew Capt. Lunani’s contract.
Employment Court ruled in Lunani’s favour
On April 30, 2025, Justice Hellen Wasilwa held that the ministry had violated Capt. Lunani’s constitutional and contractual rights by failing to renew his contract.
The court ordered the Public Service Commission (PSC) to re-engage him in a suitable position and directed that he be paid all salary arrears from July 1, 2024.
Justice Wasilwa also awarded Capt. Lunani Ksh3 million in damages against the Cabinet Secretary for Roads and Transport for breaching his contractual rights.
PSC reinstated Capt. Lunani
Following the judgment, the PSC moved to comply with the court’s orders.
According to an affidavit sworn by PSC Secretary Paul Famba, the commission met on May 28, 2025, and resolved to reappoint Capt. Lunani to his previous position for a three-year term.
The PSC also faulted the Principal Secretary for Transport, stating that decisions on contract renewals fall exclusively within the commission’s constitutional mandate.
The commission further stated that the Principal Secretary’s actions had unnecessarily exposed the government to financial liability.
On June 9, 2025, the PSC formally instructed Principal Secretary Mohamed Dhagar to issue Capt. Lunani’s employment contract immediately.
Lawyer seeks contempt proceedings
Despite the PSC’s action, the Ministry of Roads and Transport did not implement the reinstatement.
Lawyer Henry Kurauka, representing Capt. Lunani, subsequently asked the Employment Court to summon the Principal Secretary for allegedly disobeying the court’s orders, arguing that while the PSC had complied, the ministry had failed to complete the reinstatement process.
Ministry defends its position
In response to the contempt application, the Ministry of Roads and Transport, through Principal Secretary Teresia Mbaika, argued that the application was premature.
The ministry contended that Capt. Lunani had not first obtained a Certificate of Order Against the Government, which it claimed was necessary before enforcement proceedings could begin.
Regarding the Ksh3 million damages award, the ministry argued that payment could not be processed because the judgment was delivered after the 2024/25 financial year budget had effectively closed.
It told the court the compensation would instead be included in the 2025/26 supplementary budget, subject to approval by the National Treasury and Parliament.
Court of Appeal now seized of the dispute
The ministry also disclosed that the Cabinet Secretary for Roads and Transport and the Attorney General had filed Nairobi Civil Appeal No. 460 of 2025 challenging the Employment Court judgment.
The appellants have also sought orders staying the implementation of the judgment pending the determination of the appeal.
The Court of Appeal certified the application as urgent.
Constitutional standoff continues
The dispute has created an unusual constitutional situation, with the Public Service Commission implementing the Employment Court’s judgment while the Ministry of Roads and Transport simultaneously seeks to overturn it through the Court of Appeal.
Meanwhile, the Employment and Labour Relations Court is expected to hear the contempt application on October 21, 2025.
The outcome of both proceedings will determine whether Capt. Lunani’s reinstatement is fully implemented or suspended pending the appellate court’s final decision.
