AI-generated case brief
Case Brief · caselaw.co.ke
ELRCOtherCause Number 217 of 2013 (Formerly Industrial Court at Nairobi Cause No. 425 of 2011)· [2015] KEELRC 660 (KLR)
Kenya Petroleum Oil Workers’ Union v Petro Oil (K) Limited [2015] KEELRC 660 (KLR)
AI-assisted case brief
·~2 min to read original · ~4 min briefThe bottom line
#What this practically means
#Executive summary
#The Kenya Petroleum Oil Workers' Union filed a Statement of Claim on 21st March 2011 on behalf of nine Grievants against Petro Oil (K) Limited, alleging unfair and unlawful termination. The Respondent filed its Statement of Response on 26th August 2011. The cause was originally filed at Nairobi as Cause No. 425 of 2011 and transferred to the Industrial Court at Mombasa as Cause No. 217 of 2013. The matter did not proceed to a full hearing; on 14th July 2015 the parties informed the Court that they had settled the dispute. Under the recorded consent, the Respondent was to pay each of the nine Grievants an equivalent of three months' wages as all-inclusive compensation and final settlement, amounting to Kshs. 30,097.80 per Grievant and Kshs. 270,880.20 in aggregate, subject to statutory deductions if applicable. The Grievants' claims for notice pay, leave pay, overtime and days worked were marked as withdrawn. The aggregate sum was to be paid by cheque drawn in the name of the Union and delivered to it within seven days, failing which the Union would be at liberty to execute. The parties agreed there would be no order as to costs and that the suit be marked fully and finally settled. Rika J, invoking Rule 27(1)(a) of the Industrial Court (Procedure) Rules 2010, found the terms fair, adequate, regular and made in accordance with the law, and ordered that award be entered in terms of the parties' proposal. The judgment is a consent award rather than a determination on the merits.
Key legal issues
#01
Adoption of a negotiated settlement as an award of the court
Holding
The Court recorded the consent settlement and entered award in the terms proposed by the parties, being satisfied the terms were fair, adequate, regular and lawful.
Reasoning
The dispute over unfair and unlawful termination was resolved through negotiation between the parties, who presented agreed terms to the Court on 14th July 2015. Under Rule 27(1)(a) of the Industrial Court (Procedure) Rules 2010, the Court reviewed the proposal, including the schedule of compensation of three months' wages per Grievant totalling Kshs. 270,880.20, and having satisfied itself that the terms were fair, adequate, regular and made in accordance with the law, entered award accordingly.
p. 2
Legal principles established
#- The Industrial Court may adopt as its award settlement terms agreed between parties where it is satisfied they are fair, adequate, regular and made in accordance with the law, under Rule 27(1)(a) of the Industrial Court (Procedure) Rules 2010.
Court orders
#- 1.Award entered in terms of the parties' settlement proposal: the Respondent to pay each of the nine Grievants an equivalent of three months' wages as all-inclusive compensation (Kshs. 30,097.80 each, totalling Kshs. 270,880.20), subject to statutory deductions if applicable
- 2.Claims for notice pay, leave pay, overtime and days worked marked as withdrawn
- 3.The total sum of Kshs. 270,880.20 to be paid by cheque drawn in the name of Kenya Petroleum Oil Workers' Union and delivered to the Claimant Union within seven days from the date of recording the Consent in Court, failing which the Claimant shall be at liberty to execute
- 4.No order as to costs
- 5.Suit marked as fully and finally settled
- Jurisdiction invoked
- Industrial Court (Procedure) Rules 2010, Rule 27(1)(a)
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Kenya Petroleum Oil Workers’ Union v Petro Oil (K) Limited [2015] KEELRC 660 (KLR)", Case Analysis (2015). Cause Number 217 of 2013 (Formerly Industrial Court at Nairobi Cause No. 425 of 2011). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2015/660/eng@2015-07-14
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.