President William Ruto has suffered a major setback after the High Court quashed his Executive Order No. 3 of 2024, which aimed to introduce new rules for managing State corporations.
The ruling, delivered by Justice Chacha Mwita, marked a serious defeat for the Executive’s efforts to tighten control over governance, staffing, and operations within parastatals.
In his decision, Justice Mwita declared that the President’s order went against Article 234(2) of Kenya’s Constitution.
This Article gives the Public Service Commission (PSC) the sole authority to manage human resources in the public service.
The court stressed that any law or executive action that interferes with the PSC’s constitutional role is invalid.
Not only did the judge nullify Ruto’s Executive Order, but he also declared specific parts of the State Corporations Act (Cap. 446) unconstitutional.
These include Sections 5(3) and 27(c), which were found to give powers to the President that are strictly reserved for the PSC.
“The President cannot exercise powers that the Constitution has specifically assigned to the Public Service Commission,” Justice Mwita stated. “Therefore, Sections 5(3) and 27(c) of the State Corporations Act, to the extent that they confer such powers, are unconstitutional, null, and void,” he added.
Executive Order No. 3 was issued on May 24, 2024, through a gazette notice. It sought to bring State corporations under closer supervision by the Office of the President.
The guidelines outlined in the order gave Ruto’s office control over key matters such as board appointments, terms of service, and staff management — responsibilities that have traditionally been under the PSC’s mandate.
The move immediately sparked opposition from constitutional bodies, particularly the Public Service Commission and the Law Society of Kenya (LSK).
Both institutions filed petitions challenging the legality of the order, arguing that it violated the principles of separation of powers and undermined the independence of the PSC.
The LSK argued that Ruto’s order attempted to create a parallel structure for managing public service outside the constitutional framework, which would erode the PSC’s autonomy and open the door to political interference in public sector appointments.
In agreement, the High Court sided with the LSK, reaffirming that the PSC plays a vital role in ensuring that Kenya’s public service runs based on merit, professionalism, and impartiality — values protected under Article 232 of the Constitution.
Justice Mwita emphasized that constitutional commissions such as the PSC exist to prevent the concentration of power within the Executive and to guarantee fair and transparent management of the public sector.
As a result of the ruling, both the Executive and Parliament will now have to revisit existing laws governing State corporations, including the State Corporations Act, to make sure they align with the Constitution and uphold the authority of independent commissions like the PSC.
This landmark judgment is seen as a strong message reinforcing the importance of respecting constitutional boundaries between the Executive and independent commissions, and it significantly limits the President’s influence over public service management.
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