The KP Disputes team successfully defended the interests
of the Kazakhstan branch of a leading Chinese bank in a landmark
employment discrimination dispute before the Court of the Astana
International Financial Centre (AIFC)
A former employee of the bank filed a claim alleging discrimination
in remuneration. His arguments were based on the assertion that, as
a Kazakhstani citizen, he was treated differently compared to other
employees seconded from China.
In considering the case, the Court confirmed that Regulation 59(1)
of the AIFC Employment Regulations regulates direct discrimination,
which cannot be justified, whereas Regulation 59(2) regulates
indirect discrimination, which is capable of objective
justification provided that the justification is a proportionate
means of achieving a legitimate aim.
The judge concluded on the evidence that if there was any
discrimination in terms of remuneration, it was justified by the
need to provide an incentive to employees from China to relocate to
Kazakhstan. Accordingly, the former employee's claim was
dismissed.
The AIFC Court also refused the claimant's permission to
appeal, noting its lack of prospects.
This case is significant for the regulation of employment relations
within the AIFC: it establishes the legal position that differences
in remuneration between local and foreign employees are permissible
where such differences have an objective and proportionate
justification aimed at achieving a legitimate purpose.
For KP Disputes, this case serves as an example of successfully
defending a client in a strategically important dispute with
implications for Kazakhstan's investment climate. The
client's case was handled by Ravil Kassilgov, Aibek Kambaliyev,
and Bekzada Issabekov.
References to court decisions:
- Judgment in Case No. AIFC-C/SCC/2024/0041 dated 18 March 2025: https://court.aifc.kz/judgments/case-no-41-of-2024/
- Judgment in Case No. AIFC-C/CA/2025/0010 dated 8 August 2025: https://court.aifc.kz/judgments/case-no-10-of-2025/
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