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ELRCPartially AllowedCause Number 1601 of 2011· [2015] KEELRC 1286 (KLR)

Pamela K. Butalanyi v University Council for the Kenya Polytechnic University College [2015] KEELRC 1286 (KLR)

Industrial Court
20 March 2015
7,218 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~29 min to read original · ~4 min brief

The bottom line

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Kenya's Industrial Court ruled an employer cannot dismiss an employee on study leave without a fair hearing, and ordered her reinstatement with full back pay.

What this practically means

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Executive summary

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The Claimant, employed by the Respondent College as a Technician from 1989 and rising to Senior Technician, was granted a Government scholarship and study leave to pursue a PhD at the University of Manchester from late 2004. Her studies were extended due to illness, and the Respondent initially extended her study leave to December 2009. However, when the Directorate of Personnel Management queried funding for the extension, the Respondent hastily revoked the extension, demanded her immediate return, stopped her salary, and summarily dismissed her effective 15th July 2009 under Section 44(4)(a) of the Employment Act 2007, relying on her failure to report back to duty. The Claimant sued for reinstatement, damages, and various monetary dues. The Court held the summary dismissal was both substantively and procedurally unfair: the Section 44(4)(a) provision was inapplicable because she was on granted and extended leave with lawful cause for her absence; the 7-day show-cause period was impossible to comply with from the UK; and no hearing, even by Skype, was ever offered. The Court affirmed that summary dismissal is subject to Sections 41, 43 and 45 and that termination-at-will has no place in Kenyan law. Reinstatement, available under the repealed Section 15 of the Labour Institutions Act, was granted with effect from 1st June 2015 and back pay from 1st August 2009. In the alternative, the Respondent was ordered to pay one month's salary in lieu of notice and 12 months' salary as compensation. Claims for service pay, August 2009 salary, study-related costs, and per diem were rejected, with costs to the Claimant and no order on interest.

Key legal issues

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01

Whether the Respondent had a valid and fair reason to summarily dismiss the Claimant under Section 44(4)(a) of the Employment Act 2007

Holding

Section 44(4)(a) was inapplicable; the Claimant was on granted and extended study leave and had lawful cause for her absence; the dismissal lacked both substantive justification and procedural fairness

Reasoning

The Claimant's study leave, granted in 2004 and extended by the Respondent to December 2009, meant she was not absent without leave or lawful cause. Her return depended on completing her Government-sponsored PhD and on an air ticket, neither of which was available. The Respondent's commands to return without completing her study were not lawful and proper, and summary dismissal remains subject to Sections 41, 43 and 45.

p. 10
02

Whether the Claimant was accorded procedural fairness before summary dismissal

Holding

Procedural justice was absent; the 7-day show-cause letter was impossible to comply with from the UK and no hearing, even by Skype, was ever offered

Reasoning

The letter requiring the Claimant to show cause within 7 days was unreasonable given postal delays between Kenya and the UK. After she failed to respond, no attempt was made to hear her, even through Skype, and her appeal for reinstatement was dismissed without any hearing or consultation. Substantive justice was likewise lacking because there was no valid reason for termination.

p. 10
03

Whether reinstatement was an available and appropriate remedy

Holding

Reinstatement was allowed, being available under the repealed Section 15 of the Labour Institutions Act 2007 and Section 49 of the Employment Act 2007, since no 3-year time limit applied at the date of termination

Reasoning

The dismissal took effect on 15th July 2009, before the Industrial Court Act 2011 introduced the 3-year time limit on reinstatement. The Claimant completed her PhD through her own resources after being abandoned by two bungling Government institutions; denying her return would unjustly deprive the nation of the benefit of its investment in her capacity building.

p. 11
04

Whether monetary claims for study-related costs and per diem lay against the Respondent

Holding

Costs of the study (rent, air tickets, living expenses, luggage, per diem) were not claimable from the Respondent, whose role was limited to granting study leave; they could be pursued against the DPM

Reasoning

The letter of 30th November 2004 was emphatic that all costs of the Claimant's study would be met by the DPM, the sponsoring entity. The Employer was restricted to affording study leave. Per diem applies to employees actively working out of station, not those on study leave. Had costs been incurred under the disciplinary process itself, they would have been claimable from the Respondent.

p. 11

Legal principles established

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  • Summary dismissal is a form of termination and must satisfy the requirements of fair termination under Sections 41, 43 and 45 of the Employment Act 2007
  • Termination-at-will has no place in Kenyan employment law
  • An employee's duty to obey employer commands extends only to lawful and proper commands
  • Employment remedies must be proportionate to the injury sustained and not aimed at unjust enrichment
  • Absence from work with lawful cause, such as completing Government-sponsored study, does not attract summary dismissal under Section 44(4)(a)

Court orders

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  1. 1.A declaration that the Summary Dismissal of the Claimant was unfair
  2. 2.The Respondent shall reinstate the Claimant to her previous position with effect from 1st June 2015, without loss of salaries, benefits and privileges; back pay to be calculated from 1st August 2009
  3. 3.In the alternative, the Respondent shall pay the Claimant 1 month salary in lieu of notice at Kshs. 54,592 and 12 months' salary in compensation at Kshs. 655,104 (total Kshs. 709,696)
  4. 4.The Claimant must communicate her option to the Respondent within 30 days of the delivery of the Award
  5. 5.Costs in either case to the Claimant
  6. 6.No order on the interest

Authorities

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Legislation

  • Employment ActSection 44(4)(a)
  • Employment ActSection 44(4)(e)
  • Employment ActSection 41
  • Employment ActSection 43
  • Employment ActSection 45
  • Employment ActSection 49
  • Labour Institutions ActSection 15
  • Industrial Court Act
  • Industrial Court (Procedure) Rules 2010Rule 27(1)(a)

Cases cited (7)

  • Peter Mureithi Ngata v. The Hon Attorney General
    Industrial Court at Nairobi Cause Number 716 of 2011
  • Zachary Ochako v. Kenya Broadcasting Corporation
    Industrial Court at Nairobi Cause Number 1510 of 2010
  • Beatrice Achieng Osir v. Board of Trustees Teleposta Pension Scheme Co. Limited
    Industrial Court at Nairobi Cause Number 665 of 2011
  • Francis Lawrence Oyatsi v. Nzoia Sugar Company Limited
    Cause Number 361 [N] of 2009
  • Omondi v. Secretary General Kenya Management Staff Association
    Nairobi High Court Civil Case Number 452 of 1981
  • Cathleen Tulloch Biget v. The International School of Kenya
    Nairobi High Court Civil Case Number 373 of 1988
  • Abraham Gumba v. KEMSA
    Industrial Court at Nairobi Cause Number 1073 of 2012
Jurisdiction invoked
Industrial Court Act 2011 and the Labour Institutions Act (Section 15), read with Rule 27(1)(a) of the Industrial Court (Procedure) Rules 2010

Key timeline

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Practical implications

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Frequently asked questions

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Later judgments citing this (2)

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Judgments in the corpus that rely on this one. Where the Court said how it treated the authority, that is shown.

Cite this brief

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Cite this brief

Caselaw, "Pamela K. Butalanyi v University Council for the Kenya Polytechnic University College [2015] KEELRC 1286 (KLR)", Case Analysis (2015). Cause Number 1601 of 2011. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2015/1286/eng@2015-03-20

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