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ELRCDismissedCause No. 64 of 2002· [2003] KEELRC 1 (KLR)

KENYA SHIPPING, CLEARING & WAREHOUSES WORKERS’ UNION v EAST AFRICAN GROWERS LTD [2003] KEELRC 1 (KLR)

Industrial Court of Kenya
12 November 2003
2,162 words in judgment
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The bottom line

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Kenya's Industrial Court ruled that a union cannot win workplace recognition just by signing up the majority of workers—the type of business determines the right union.

What this practically means

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Executive summary

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This Industrial Court award arose from a Notification of Dispute dated 11th March 2002 concerning a recognition agreement, referred under Sections 14(7) and (9)(e) and (f) of the Trade Disputes Act, Cap. 234. The Kenya Shipping, Clearing & Warehouses Workers' Union sought recognition from East African Growers Ltd, claiming its employees fell within its constitutional membership rule and that it had recruited a simple majority of unionisable employees. The Company opposed, contending its core activity was horticultural farming with over 1,500 workers in Nyeri farms, and supported by the Kenya Plantation & Agricultural Workers' Union, which had a valid recognition agreement with the Agricultural Employers Association covering the Company. An Investigator appointed by the Minister had found the first Union recruited 260 of 305 unionisable employees and recommended recognition, but the Company rejected the recommendation. The Court held that the Company's core activity was agricultural/horticultural, with packaging at JKIA being secondary, and that majority membership alone is not the criterion for deciding recognition disputes, following its earlier decision in Cause No. 70 of 1989. Upholding industrial trade unionism, the Court disagreed with the Minister's findings, found the first Union not the appropriate union, and rejected its recognition demand as incompetent. The Members concurred.

Key legal issues

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01

Whether the first Union had constitutional mandate and majority membership to warrant recognition

Holding

Even if the first Union recruited a simple majority, majority membership alone does not decide recognition disputes; the core activity of the employer determines the appropriate union

Reasoning

The Court found the Company's main or core activity was horticultural farming, with packaging at JKIA being secondary or incidental. Under the industrial trade unionism system, the appropriate union for agricultural employees was the second Union, which had a valid recognition agreement with the Agricultural Employers Association. The Investigator's findings were disagreed with.

p. 4
02

Competency of the first Union to raise a trade dispute on behalf of the Company's employees

Holding

The first Union was found not to be the right or appropriate union and its competency to raise the dispute was gravely in doubt; the demand was rejected as incompetent

Reasoning

The second Union rigorously challenged the first Union's competency, relying on its valid recognition agreement with the Association covering the Company. The Court took exception to the Minister's findings and recommendation, concluding the first Union lacked representative capacity.

p. 5

Legal principles established

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  • A simple majority of membership alone is not the sole criterion for deciding recognition disputes; the established system of industrial trade unionism in Kenya must be upheld
  • Freedom of association must be exercised in accordance with the established industrial relations system prevailing in Kenya

Court orders

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  1. 1.The demand for recognition by the first Union (Kenya Shipping, Clearing & Warehouses Workers' Union) is rejected as incompetent

Authorities

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Legislation

  • Trade Disputes Act, Cap. 234Section 14(7), (9)(e) and (f)
  • Trade Disputes Act, Cap. 234Section 5(2)
  • Companies Act, Cap. 486incorporation of the Company

Cases cited (1)

  • Kenya Union of Employees of Voluntary Associations, Trade Unions & Allied Organisations v Kenya Union of Printing, Publishing, Paper Manufacturers & Allied Workers
    Cause No. 70 of 1989
Jurisdiction invoked
Section 14(7) and (9)(e) and (f) of the Trade Disputes Act, Cap. 234 (Notification of Dispute with statutory certificates from the Labour Commissioner and the Minister for Labour)

Key timeline

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Practical implications

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Frequently asked questions

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Cite this brief

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Cite this brief

Caselaw, "KENYA SHIPPING, CLEARING & WAREHOUSES WORKERS’ UNION v EAST AFRICAN GROWERS LTD [2003] KEELRC 1 (KLR)", Case Analysis (2003). Cause No. 64 of 2002. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2003/1/eng@2003-11-12

Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.