Kenya Hotels & Allied Workers Union v Firm Rock Resort (Lakers Hub) [2015] KEELRC 233 (KLR)
The bottom line
#A Kenyan court ruled a hotel unfairly fired its supervisor by sidelining him into commission-only work without following the law, awarding him over Shs.190,000.
What this practically means
#Executive summary
#Key legal issues
#Fairness of termination
Termination was unfair for want of both valid reason and fair procedure, as the Grievant was never subjected to the Section 41 procedure before being offered a new commission-based role
The Grievant was sent on one month's compulsory leave pending a directors' meeting which never concluded. On resuming, he was told to wait and was later offered fresh employment as a salesman on commission without salary, which meant his previous employment had been terminated. The Respondent, whose defence was a mere denial, adduced no evidence to controvert the Grievant's testimony, so the court believed the Grievant.
Entitlement to terminal dues and compensation
Grievant entitled to one month's salary in lieu of notice, public holidays, off days, salary arrears, salary for compulsory leave period, untaken annual leave and compensation of four months' salary
The Respondent did not appear at the hearing nor adduce evidence to controvert the Grievant's claim that he worked on off days and public holidays. In assessing compensation under Section 49, the court considered the Grievant's two years of service and the circumstances of termination, fixing compensation at four months' salary rather than the twelve months claimed.
Legal principles established
#- For a termination to be fair, the employer must prove both a valid reason and fair procedure
- An employee unfairly terminated is entitled to the remedies set out in Section 49 of the Employment Act, including salary in lieu of notice, withheld salary, salary for periods of compulsory leave, untaken annual leave and compensation
Court orders
#- 1.Payment of one month's salary in lieu of notice of Shs.15,000.00
- 2.Payment for public holidays of Shs.7,500.00
- 3.Payment for 104 off days of Shs.52,000.00
- 4.Payment of salary arrears of Shs.60,000.00
- 5.Compensation of 4 months' salary of Shs.60,000.00 for unfair termination
- 6.Respondent to issue the Claimant a Certificate of Service
- 7.Costs of Shs.20,000/= awarded to the Claimant
- Jurisdiction invoked
- Employment Act, 2007 (employment and labour relations dispute; referral after conciliation by the Minister for Labour)
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Kenya Hotels & Allied Workers Union v Firm Rock Resort (Lakers Hub) [2015] KEELRC 233 (KLR)", Case Analysis (2015). Cause No. 332 of 2014. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2015/233/eng@2015-11-20
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.