Abubakar Aslam Shikolio v Savannah Cement (EPZ) Limited [2015] KEELRC 767 (KLR)
The bottom line
#A Kenyan court ruled Savannah Cement unfairly fired its stock controller, awarding him six months' salary, interest, and costs because the company proved no valid reason or fair procedure.
What this practically means
#Executive summary
#Key legal issues
#Valid reason for termination (substantive fairness)
No valid reason was demonstrated; termination was substantively unfair
The show cause notice alleged failure to disclose irregularities regarding two suppliers, while the termination letter cited failure to carry out responsibilities consistent with company policies. The court found no clear statement and proof of any act of commission or omission amounting to breach of contract given the Claimant's job description, and the employer bore the burden under Section 43 of the Employment Act.
Procedural fairness under Section 41
Procedure was not followed; termination was procedurally unfair
Section 41 requires explanation of reasons to the employee, presence of a representative, and consideration of explanations. There was no evidence the Respondent followed this procedure or its internal disciplinary procedure, and the Claimant was not given an opportunity to comment on the audit and investigation reports which formed the basis of termination.
Remedies for unfair termination
Six months' salary as compensation, with interest and costs
The court exercised discretion under the Employment Act, taking into account the Respondent's failure to demonstrate a valid reason and its conduct in the disciplinary process, balanced against the Claimant's short period of service, awarding six months' salary of Kshs. 165,000 per month.
Legal principles established
#- An employer must prove the reason for termination; failure renders termination unfair
- It is not enough to allege that an employee failed to perform duties; the elements of failure must be stated and proved on a balance of probability
Court orders
#- 1.Award of six months' salary (Kshs. 990,000.00) in compensation for unfair termination
- 2.Interest on the award at court rates from the date of the award until payment in full
- 3.Costs of the case awarded to the Claimant
- Jurisdiction invoked
- Employment and Labour Relations Court jurisdiction under the Employment Act, 2007 (unfair termination claim)
Key timeline
#Practical implications
#Frequently asked questions
#Later judgments citing this (1)
#Judgments in the corpus that rely on this one. Where the Court said how it treated the authority, that is shown.
- Mutula v Kenya Revenue Authority (Cause E883 of 2021) [2024] KEELRC 555 (KLR)[2024] KEELRC 555 (KLR)8 Mar 2024
Cite this brief
#Cite this brief
Caselaw, "Abubakar Aslam Shikolio v Savannah Cement (EPZ) Limited [2015] KEELRC 767 (KLR)", Case Analysis (2015). Cause No 685 of 2013. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2015/767/eng@2015-07-17
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.