Standard Chartered Bank Kenya has disbursed pension payments to 522 out of 629 former employees following a Supreme Court ruling in September 2025 that resolved a long-standing pension dispute.
The payments cover 83 percent of the pensioners involved in the landmark case, with the bank awaiting further documentation from the remaining claimants before completing their settlements.
According to Birju Sanghrajka, CEO of Standard Chartered Bank Kenya, the bank was prepared to make payments within three weeks of the ruling and does not anticipate additional provisions related to these 629 pensioners.
Background of the Pension Dispute
The dispute originated when the bank's pension scheme was converted from a defined contribution to a defined benefit plan in 1999. The affected employees argued that their pension savings had been undervalued during this transition.
The case progressed through various courts, with the Supreme Court ultimately dismissing the bank's challenge and upholding the pensioners' claims.
Emergence of New Pension Claims
While settling the original claims, Standard Chartered now faces new pension demands from over 600 former employees not covered by the Supreme Court ruling. This group, known as the "Non-629 Former Employees," submitted 21 claims to the Retirement Benefits Authority (RBA) in October 2025 seeking inclusion in the pension compensation.
In June 2026, the RBA instructed the trustees of Standard Chartered’s pension scheme to review these new claims. However, the trustees appealed this directive, citing potential high costs and obtained a court order freezing the RBA's instruction pending appeal.
Mr. Sanghrajka stated that the bank continues to engage with legal counsel and the RBA to address the new claims, which also involved a petition to the UK’s Financial Conduct Authority seeking intervention from the parent company, Standard Chartered Plc.
