Can an employee lose a 16-year career over alleged misuse of medical insurance and still expect millions in compensation? That question has resurfaced after a Kenyan court dismissed a former Safaricom employee’s claim against the telecommunications giant following a dispute over the use of a company medical insurance card.
The Employment and Labour Relations Court in Nairobi dismissed a lawsuit filed by Lynette Akinyi Oduor, who was summarily dismissed by Safaricom in September 2021 over allegations that she fraudulently used her medical benefits to obtain treatment for an ineligible family member.
In a judgment delivered by , Justice Nelson Abuodha ruled that Safaricom had valid grounds to terminate Oduor’s employment and had followed the required disciplinary procedures. The court found that the former employee had not established that her dismissal was unfair or unlawful.
Oduor joined Safaricom in 2005 as a customer care representative and worked her way up to become a Quality Analyst. At the time of her dismissal, she earned a gross monthly salary of approximately KSh203,633.
The dispute arose from an incident at Mater Hospital’s Buruburu clinic on June 29, 2021, when Oduor visited the facility accompanied by her cousin, Lilian Omondi.
According to court records, Safaricom’s medical insurance provider, Minet Insurance Brokers, investigated allegations that Oduor had used her medical card to obtain treatment for her cousin, who was not covered under the company’s medical scheme.
The investigation reportedly involved reviewing medical records, examining hospital CCTV footage and interviewing individuals connected to the incident.
Safaricom maintained that the findings established that Oduor had misused her medical benefits and breached the company’s code of conduct. The company subsequently terminated her employment for gross misconduct.
Oduor, however, challenged the circumstances surrounding her dismissal, maintaining that she had visited the hospital to seek treatment for herself and that her cousin had accompanied her.
She told the court that she had experienced problems at the hospital after her medical card allegedly went missing and her insurance account was locked. She also disputed the investigation findings and argued that the dismissal was unfair.
Safaricom defended its decision, arguing that it had conducted disciplinary hearings, provided Oduor with an opportunity to respond to the allegations and acted on the findings of its medical insurance provider.
The court ultimately sided with the telecommunications company, finding that the evidence supported Safaricom’s decision to dismiss her and that the disciplinary process had met the required standards of fairness.
In her lawsuit, Oduor sought compensation for wrongful dismissal, unpaid employment benefits, service pay, damages and other entitlements.
Among her claims was KSh34.21 million for alleged lost earnings covering the 14 years she said remained before retirement, alongside other monetary claims.
However, the court rejected the argument that Safaricom should pay her salary until retirement, noting that employment relationships are not guaranteed to last until an employee reaches retirement age.
The court also rejected her claims for discrimination and damages, finding that she had not provided sufficient evidence to support them.
Ultimately, the court dismissed the entire suit and awarded costs against her.
The ruling serves as a reminder that employment disputes can carry significant financial consequences, particularly when allegations of misconduct arise. It also highlights the importance of workplace policies, fair disciplinary procedures and evidence when employers and former employees contest the circumstances of a dismissal.
