Charity Njagi v Comworld Business Centre [2014] KEELRC 1297 (KLR)
The bottom line
#A Kenyan court ruled an employer's unexplained dismissal unfair, awarding the employee Kshs.112,525 because the employer kept no pay or leave records.
What this practically means
#Executive summary
#Key legal issues
#Whether the termination of the Claimant's employment was lawful and fair
The termination was unfair both substantively and procedurally
The Respondent pleaded that the Claimant was hired temporarily and terminated by mutual agreement but called no evidence to support this. The employer provided no valid reason and did not follow due process under Sections 45(2) and 41 of the Employment Act. The Claimant testified she received no notice and was replaced after a promise of recall was not kept.
Whether the Claimant is entitled to the reliefs sought
Entitled to compensation of two months' salary, one month's notice pay, prorata leave and a certificate of service; gratuity and punitive damages dismissed
Compensation was calibrated to the Claimant's length of service. Notice pay followed Section 35(1). Leave pay was awarded because the employer produced no leave records. Gratuity and punitive damages failed for want of proof. Salary was fixed at Kshs.35,000 based on the Claimant's evidence, uncontradicted for lack of pay statements.
The correct monthly salary for computation of the award
The Court adopted Kshs.35,000.00 as the Claimant's monthly salary
The parties disputed the salary: the Claimant pleaded Kshs.35,000, the Respondent Kshs.15,000. The Claimant produced a paying-in slip showing a cheque for Kshs.35,000 and testified her salary was later reduced to Kshs.15,000. The Respondent, lacking pay statements as required by Section 20, offered no contradicting evidence.
Legal principles established
#- An employer must provide a valid and fair reason for termination and must prove the termination followed fair procedure
- Where an employer fails to produce leave records, the employee is entitled to prorata leave pay
- Failure to provide pay statements under Section 20 of the Employment Act means the employer cannot contradict the employee's evidence on salary
Court orders
#- 1.Award of Kshs.70,000.00 being 2 months' salary in compensation for unfair termination
- 2.Award of Kshs.35,000.00 being 1 month's salary in lieu of notice
- 3.Award of Kshs.7,525.00 prorata leave pay (total Kshs.112,525)
- 4.Respondent to issue the Claimant with a Certificate of Service in accordance with Section 51 of the Employment Act, 2007
- 5.Respondent to pay the costs of the case
- 6.Award to attract interest at court rates from the date of the award until payment in full
- Jurisdiction invoked
- Employment and labour relations dispute under the Employment Act, 2007 (Industrial Court jurisdiction over wrongful dismissal and terminal dues)
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Charity Njagi v Comworld Business Centre [2014] KEELRC 1297 (KLR)", Case Analysis (2014). Cause No 1321 of 2013. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2014/1297/eng@2014-10-02
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.