Milimani Law Courts in Nairobi

A Nairobi court has ruled that an Italian executive was constructively dismissed after his employer relocated him to Nigeria without consultation.

Justice Hellen Wasilwa of the Employment and Labour Relations Court awarded Federico Caboni €147,014.66 (approximately Sh22.1 million) and ordered the companies to issue him with a certificate of service.

The judge noted that the respondents had neither entered appearance nor filed a defence despite being served with summons and hearing notices.

Caboni sued CX Services Kenya Limited and Teleperformance SE, seeking "a declaration that the Respondents unfairly, un-procedurally, wrongfully and unlawfully constructively dismissed him from employment contrary to the law and the contract of employment”.

He also sought compensation of €121,000 (approximately Sh18.2 million), terminal dues of €147,014.66 (Sh21,399,453.91), costs and a certificate of service.

The dispute arose from his 2022 employment contract as chief executive officer of the Kenyan subsidiary, based in Westlands, Nairobi. The contract provided for an annual fixed gross salary of $121,000, plus a variable gross payment of $24,000.

Caboni claimed he was later assigned to lead the Nigerian office and helped establish operations in Ghana without separate contracts or additional pay.

In February 2024, he was told to hand over the Ghana role to another subsidiary.

“He further avers that in March 2024, the 2nd Respondent's President, by an oral directive given on a telephone conference, instructed him to cease his role as CEO of the first respondent [CX Services] and hand over immediately to the CEO of Majorel Kenya, a company acquired by the second respondent [Teleperformance] which was neither his employer nor his superior.”

During the same period, he was instructed to relocate to Lagos to serve as chief executive officer of Teleperformance Nigeria.

Caboni said no formal transfer or termination followed for more than 10 months. He received an offer for the Nigerian position in August 2024.

He resigned on December 18, 2024, with his resignation taking effect on January 31, 2025. He was paid his January salary and for 22.75 days of leave.

“It is the claimant’s case that on or about September 1, 2025, the respondents, without notice, removed him from all their Chief Executive Officers' distribution and communication lists in EMEA [Europe, Middle East and Africa].

“He avers that this made the performance of his duties difficult and caused him anxiety and psychological and mental anguish. He raised these concerns with the second respondent's president, who was his supervisor, but they were not addressed.”

The respondents did not enter appearance or file a response to the claim despite being served with summons.

In her judgment, Justice Wasilwa found that the companies had violated the Employment Act, 2007.

“The respondents having employed the claimant to serve in Kenya, it was a breach of the employment contract for the respondents to unilaterally move him to Nigeria without consultation and without his concurrence,” the judge stated.

She found that the breach “that led the claimant to tender his resignation which is equivalent to a constructive termination”.

The court awarded Caboni terminal dues, compensation equivalent to six months' salary and the costs of the suit.

The award comprised €60,499 (approximately Sh9.1 million) in salary in lieu of six months' notice, €2,016.66 (approximately Sh302,000) for unpaid leave, a yearly bonus of €24,000 (approximately Sh3.6 million) and €60,499 (approximately Sh9.1 million) as compensation for unfair termination. The total was €147,014.66 (approximately Sh22.1 million), less statutory deductions.

The judge also ordered the companies to issue him with a certificate of service.