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ELRCPartially AllowedCause 1086 of 2010· [2013] KEELRC 511 (KLR)

JACKSON KAINDI MUSAU V CHAIRMAN OF BOG OF KITHEINI SEC SCH & 2 OTHERS [2013] KEELRC 511 (KLR)

Industrial Court of Kenya
28 January 2013
1,320 words in judgment
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The bottom line

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A Kenyan school won on reasons for firing an employee but lost on procedure, paying notice and service pay.

What this practically means

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Executive summary

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The Claimant, employed by Kitheini Secondary School as Accounts Clerk II from 1st January 1988, was terminated by letter dated 30th March 2010 on grounds of gross misconduct, effective 1st April 2010. He sued for notice pay, terminal benefits, unpaid house allowance and damages for unlawful dismissal, contending he was neither heard nor given notice. The Respondents justified the dismissal on the Claimant's long record of misconduct, including a 1997 warning for desertion of duty, a 2004 suspension for reporting to the Principal's house while drunk, and repeated Board of Governors discussions of his conduct. The Court first adopted the Claimant's figure of Kshs. 11,750 as his salary, since the employer bore the statutory duty under Sections 10 and 20 of the Employment Act, 2007 to keep employment records and its witness did not know the salary. On substance, the Court held that under Section 47(5) the burden of justifying the termination fell on the employer, and that the Respondents had a justifiable ground, as the Claimant did not rebut the accusations in the warning letters and minutes. However, the Respondents failed to follow the procedure in Section 41, which requires an explanation and a hearing before termination for misconduct. The summary dismissal was accordingly converted into a normal termination. The Court awarded one month's salary in lieu of notice and service pay at 15 days' pay per completed year of service, declined compensation for unfair termination given the Claimant's employment record, dismissed the house allowance claim as unproved, and ordered each party to bear their own costs.

Key legal issues

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01

Determination of the Claimant's salary at termination

Holding

The Court adopted the Claimant's figure of Kshs. 11,750 since the employer, who bears the statutory duty of record-keeping, produced no records and its witness did not know the salary.

Reasoning

Section 20 of the Employment Act requires employers to provide itemised pay statements and Section 10 places the duty of keeping employee records on the employer. The Respondents' witness admitted in cross-examination that he did not know the Claimant's salary. In the absence of employer records, the Court adopted the Claimant's unchallenged figure of Kshs. 11,750 as his monthly salary.

p. 2
02

Whether the summary dismissal was substantively justified

Holding

The Respondents had a justifiable ground for termination based on the Claimant's record of misconduct, including reporting on duty while drunk, which the Claimant did not rebut.

Reasoning

Under Section 47(5) of the Employment Act, the burden of justifying the grounds for termination rests on the employer. The Respondents produced warning letters, suspension letters and Board minutes showing a prolonged record of misconduct. Though there was no evidence the Claimant received the warning letters, he did not rebut the accusations, and the Court concluded he was aware his conduct was under discussion.

p. 3
03

Whether the dismissal was procedurally fair under Section 41 of the Employment Act

Holding

The Respondents failed to follow the correct procedure, warranting conversion of the summary dismissal into a normal termination.

Reasoning

Section 41 requires an employer, before terminating on grounds of misconduct, to explain the reasons to the employee in a language he understands, allow him to have a companion present, and hear and consider his representations. Although the Claimant was aware of the accusations, the Court found the Respondents did not afford him the adequate opportunity to respond required by the statute, so the summary dismissal was procedurally flawed.

p. 3

Legal principles established

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  • Where an employer fails to keep employment records as required by Sections 10 and 20 of the Employment Act, the Court may adopt the employee's stated salary figure.
  • An employer with a justifiable ground for termination who fails to follow the correct procedure under Section 41 of the Employment Act converts a summary dismissal into a normal termination, entitling the employee to notice pay.

Court orders

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  1. 1.The summary dismissal is converted into a normal termination
  2. 2.The Claimant is awarded 1 month's salary in lieu of notice
  3. 3.The Claimant is awarded service pay at the rate of 15 days pay for each completed year of service
  4. 4.Compensation for unfair termination is declined
  5. 5.The claim for house allowance is dismissed
  6. 6.Each party to bear their own costs

Authorities

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Legislation

  • Employment Act, 2007Section 20
  • Employment Act, 2007Section 10
  • Employment Act, 2007Section 44(3)
  • Employment Act, 2007Section 41(1) and (2)
  • Employment Act, 2007Section 47(5)
Jurisdiction invoked
Industrial Court of Kenya jurisdiction over employment disputes under Cause 1086 of 2010; Employment Act, 2007

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, "JACKSON KAINDI MUSAU V CHAIRMAN OF BOG OF KITHEINI SEC SCH & 2 OTHERS [2013] KEELRC 511 (KLR)", Case Analysis (2013). Cause 1086 of 2010. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2013/511/eng@2013-01-28

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