The Court has ordered TSC to pay retired teachers Sh42.3 billion in salary arrears and pension.
In the ruling in Nakuru on Thursday, Justice Janet Mulwa also directed the Teachers Service Commission and the Pensions department to immediately pay the 52,000 retirees Sh382.6 million with interest.
Mulwa directed new TSC CEO Nancy Macharia, who was sworn in on Thursday, to effect the payments.
“The TSC office has perpetual succession and the mantle must pass to the current secretary since TSC is a statutory commission established under the constitution,” she said.
The court declined to delay the payments for at least 30 days as requested by the TSC.
Former TSC boss Gabriel Lengoiboni will not be jailed over the arrears.
Lengoiboni, who would have been jailed at Kamiti Maximum Security Prison, retired on June 30 after obtaining orders suspending his imprisonment.
Mulwa directed the TSC to work with the Treasury, budget controller, Auditor General and director of pensions to settle the debt.
She noted that the teachers have not been paid despite winning the case in October 2008.
Judge David Maraga had ruled that all retired teachers covered by the October 1997 agreement were entitled to the revised retirement benefits.
An appeal by the TSC was thrown out by Court of Appeal judges on November 12, 2010.
Their attempt in 2014 to take the case to the Supreme Court was also declined.