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Case Brief · caselaw.co.ke
ELRCPartially AllowedCause No 319 of 2013· [2015] KEELRC 438 (KLR)

Kenya Union of Domestic Hotels Educational Institutions Hospitals & Allied Workers v Patrick M. Kabundu Proprietor of Ivory Sport [2015] KEELRC 438 (KLR)

Employment and Labour Relations Court
9 October 2015
877 words in judgment
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The bottom line

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A Mombasa court ruled a hotel waiter's dismissal unfair because the employer never gave her a hearing, awarding her over Ksh 88,000.

What this practically means

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Executive summary

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The claimant trade union sued on behalf of its member, a waiter employed by the respondent hotelier in Mombasa from 13.3.2010 at a stated salary, who was summarily dismissed on 17.4.2012 for allegedly overcharging a customer on juice. The claim, amended with leave on 24.7.2014, sought accrued employment dues and compensation for unfair termination. The respondent filed no defence and did not participate despite service; the suit was disposed of by written submissions based on the pleadings. The court framed two issues: whether the dismissal was unfair and whether the reliefs sought should be granted. Applying sections 41 and 45(2) of the Employment Act, the court held that the employer bore the burden of proving both a valid and fair reason and a fair procedure. The grievant was given no hearing, had no accuser presented, and her plea that the complaining customer be called was refused; she had already been terminated and replaced before the staff meeting. The dismissal was therefore found unfair and unjustified on a balance of probability. On reliefs, the court awarded one month's salary in lieu of notice (Ksh 9,421), Ksh 15,321.90 for 42 leave days, service pay of Ksh 9,421 for two years, Ksh 6,204 for 17 days worked in April 2012, and Ksh 20,131 in underpaid wages between May 2011 and March 2012. The claim for public holidays worked was dismissed for lack of particulars and evidence. Considering section 49(4) factors, compensation was limited to three months' salary. Judgment was entered for the claimant for Ksh 88,761.90 plus costs and interest, delivered at Mombasa on 9 October 2015.

Key legal issues

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01

Unfair termination - valid reason and fair procedure

Holding

The summary dismissal was unfair and unjustified; the respondent failed to prove a valid and fair reason or a fair procedure

Reasoning

The grievant was dismissed for allegedly overcharging a customer but was not accorded a hearing under section 41 of the Employment Act; she had no accuser presented and her request that the customer be called was refused. She had already been terminated and replaced before the staff meeting. The respondent filed no defence and did not attend the hearing despite service, so the burden under section 45(2) was not discharged.

p. 2
02

Compensation under section 49(4)

Holding

Three months' salary awarded as compensation for unfair termination

Reasoning

The court considered the statutory factors: the grievant's conduct, short two-year service, her wish not to be reinstated, absence of entitlement to gratuity, and her ability to secure alternative employment as a waiter within a short period. There was no evidence that misconduct caused the dismissal, so the award was moderated to three months' salary.

p. 2

Legal principles established

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  • Termination is unfair where the employer fails to prove both a valid and fair reason and a fair procedure
  • Before dismissal the employer must explain the reasons and afford the employee a hearing, with a companion of the employee's choice, in a language the employee understands

Court orders

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  1. 1.Judgment entered for the claimant for Ksh 88,761.90
  2. 2.Costs of the suit to the claimant
  3. 3.Interest on the decretal sum

Authorities

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Legislation

  • Employment ActSection 4
  • Employment ActSection 41
  • Employment ActSection 45(2)
  • Employment ActSection 49(4)
Jurisdiction invoked
Employment Act, Sections 41, 45(2), 49(4)

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 Union of Domestic Hotels Educational Institutions Hospitals & Allied Workers v Patrick M. Kabundu Proprietor of Ivory Sport [2015] KEELRC 438 (KLR)", Case Analysis (2015). Cause No 319 of 2013. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2015/438/eng@2015-10-09

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