Why M-Pesa agents are Safaricom employees

Why M-Pesa agents are Safaricom employees

The recent judgment of United Kingdom Supreme Court in Uber BV & Others vs Aslam & Others, [2021] UKSC 5 in respect of whether Uber drivers are independent contractors of employees of Uber will have far reaching implication in Kenya.

In its unanimous decision, the seven judges held that Uber drivers are employees of Uber and must enjoy full benefits that employees are entitled to.

The Supreme Court reached that decision on inter alia, the grounds that Uber drivers have no say once they download the Uber app.

An attendant makes an M-Pesa transaction for a customer in Nyeri. FILE PHOTO | NMG Deuteronomy 24:14-15

You shall not oppress a hired servant …

You shall give him his wages … before the sun sets…

Our legal System was imported from England and the foundation is thus Anglo-Saxon law. In turn, Anglo-Saxon Law is rooted in Judeo-Christian traditions and beliefs.

The laws and judgements of England as at August 12, 1897 are binding on our courts. After that date, they are persuasive, strongly persuasive. Few are judges in Kenya or even in Singapore, Canada or South Africa who will demur with decisions of UK Supreme Court and House of Lords. How can a child dissent from his mother?

The recent judgement of the United Kingdom Supreme Court in Uber BV & Others vs Aslam & Others, [2021] UKSC 5 in respect of whether Uber drivers are independent contractors of employees of Uber will have far-reaching implication in Kenya and entire world that uses Anglo-Saxon law. In its unanimous decision, the seven judges held that Uber drivers are employees of Uber and must enjoy full benefits that employees are entitled to.

The Supreme Court reached that decision on inter alia, the grounds that Uber drivers have no say once they download the Uber app. The court held that ordinary legislation on employment must be interpreted purposively to avoid undermining the mischief that employment laws intended to cure.

In employment contracts, employers are in a superior position of bargaining and employment laws is to create a fair bargaining position for an employee.In Kenya, M-Pesa agents and outlets are as ubiquitous as our matatus and Boda Boda: they are everywhere. All major banks have signed onto it. Every village has an M-Pesa shop.Safaricom earns about Sh40 billion from its M-Pesa services annually. Safaricom is the owner of the intellectual proprietary rights to the M-Pesa app. […]

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