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ELRCPartially AllowedCause No. 1519 of 2012 (Memorandum of Claim filed 18th October 2012)· [2015] KEELRC 332 (KLR)

Kenya Chemical & Allied Workers Union v Botanical Extracts (EPZ) Limited (Cause 2116 of 2012) (Employment and Labour) [2015] KEELRC 332 (KLR)

Employment and Labour Relations Court (formerly Industrial Court)
29 October 2015
2,482 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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A Kenyan court ruled workers fired for desertion without a hearing were unfairly dismissed and are owed compensation, even years later.

What this practically means

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Executive summary

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Kenya Chemical and Allied Workers Union sued Botanical Extracts EPZ Ltd on behalf of four Grievants (Kiiru Nga'ng'a, Joseph Karina, Ezbon Mathenyu Maina and James Kinyanjui Muiruri) who were sent on unpaid leave on 30th April 2009 following a downturn in the Respondent's operations due to raw material shortages, and whose employment was terminated on 30th May 2009 on the ground of desertion of duty. The Respondent asserted the Grievants were not among the 50 workers sent on compulsory leave and had deserted duty; it raised the Claimant's locus standi for lack of a recognition agreement but called no witnesses and relied only on its Memorandum of Defence. The court framed two issues: whether the termination was wrongful and whether the reliefs sought were due. It found that the Grievants were never given a hearing after the alleged desertion, that the Respondent did not deny this and adduced no rebuttal evidence, and held that the terminations failed the substantive and procedural tests under Sections 41, 43 and 45 of the Employment Act and were therefore unfair. Reinstatement was unavailable as more than three years had elapsed, and re-engagement was refused because the Respondent was not operating at full capacity and the Claimant showed no improvement. The court adopted the Conciliator's recommendations - notice pay, accrued leave pay, overtime if any, wages for days worked and six months' compensation - plus May 2009 salary for each Grievant, directing the parties to record consent on the amounts within two weeks. There were no orders for costs.

Key legal issues

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01

Whether termination on grounds of desertion was procedurally and substantively fair

Holding

The termination was unfair: the Respondent did not give the Grievants a hearing after the alleged desertion, did not call any witnesses, and did not adduce evidence to rebut the allegations of lack of procedural fairness

Reasoning

The Claimant submitted that the Grievants were never given an opportunity to be heard as required by Section 41 and that no charges were proved under Section 43. The Respondent did not adduce any evidence in rebuttal, did not call any witness, and its exhibits related to a different person (Hillary Waithaka). The Respondent did not deny that no hearing was given. The court therefore held that the terminations failed both the procedural and substantive tests under Sections 41, 43 and 45 of the Employment Act and were unfair.

p. 5
02

Whether reinstatement or re-engagement was available as a remedy

Holding

Neither reinstatement nor re-engagement was ordered; terminal benefits and compensation were awarded instead

Reasoning

More than three years had passed since termination, making reinstatement unavailable. Re-engagement was refused because the Respondent was operating at reduced capacity due to raw material shortages and had contemplated declaring 50 employees redundant, and the Claimant did not show the situation had improved. The only viable remedies were terminal benefits and compensation, and the court adopted the Conciliator's accepted recommendations.

p. 5
03

Claimant's locus standi absent a recognition agreement

Holding

Raised by the Respondent in its Memorandum of Defence but not resolved against the Claimant in the judgment

Reasoning

The Respondent objected to the Claimant's locus standi on the ground that there was no recognition agreement between the parties. The judgment records this objection but does not contain any finding or determination on it, proceeding instead to determine the Grievants' claims on the merits. The objection was therefore neither upheld nor expressly rejected in the reasoning reproduced.

p. 4

Legal principles established

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  • Termination without a hearing and without proof of the alleged charges fails the substantive and procedural fairness tests under Sections 41, 43 and 45 of the Employment Act and is unfair
  • An employer may dismiss summarily an employee who, without leave or other lawful cause, absents himself from the place appointed for the performance of his work (Section 44(4)(a)), as submitted by the Respondent

Court orders

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  1. 1.Adoption of the Conciliator's recommendations: notice pay, accrued leave pay, overtime worked if any, wages for days worked, and 6 months compensation for each Grievant
  2. 2.Each Grievant entitled to salary for the month of May 2009
  3. 3.Parties directed to work out the actual sums involved and return to court within 2 weeks from the date of judgment to record consent on the amount due in respect of each Grievant
  4. 4.No orders for costs

Authorities

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Legislation

  • Employment Act, 2007Section 41
  • Employment Act, 2007Section 43
  • Employment Act, 2007Section 44(4)(a)
  • Employment Act, 2007Section 45

Cases cited (1)

  • Kenya Chemical and Allied Workers Union v. National Cement Company Limited
    Cause No. 1113 of 2012
Jurisdiction invoked
Employment Act, 2007 (Sections 41, 43, 44(4)(a) and 45); Industrial Court jurisdiction over employment disputes

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 Chemical & Allied Workers Union v Botanical Extracts (EPZ) Limited (Cause 2116 of 2012)  (Employment and Labour) [2015] KEELRC 332 (KLR)", Case Analysis (2015). Cause No. 1519 of 2012 (Memorandum of Claim filed 18th October 2012). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2015/332/eng@2015-10-29

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