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ELRCAllowedCause Number 75 of 2014· [2015] KEELRC 1342 (KLR)

Kenya Building, Construction, Timber and Furniture Industries Employees Union v Aqua Plumbing Co Limited [2015] KEELRC 1342 (KLR)

Industrial Court of Kenya
6 March 2015
429 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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A Kenyan employer had to pay a former worker Kshs. 126,050 in benefits because it belonged to an employers' association whose agreement with the union covered him.

What this practically means

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Executive summary

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This was a first-instance claim filed on 12th March 2014 by the Kenya Building, Construction, Timber and Furniture Industries Employees Union on behalf of six grievants employed by Aqua Plumbing Co Limited. Five of the grievants settled their disputes with the employer and their claims were marked withdrawn on 10th December 2014, leaving only Javan Mgosi to pursue his claim. The Grievant, a plumber employed on 7th January 2007 at a daily wage of Kshs. 438, whose contract was terminated on 19th October 2010, claimed notice pay of 2 months (Kshs. 22,776), annual leave pay for 3 years (Kshs. 34,164), pro-rata leave of 2.25 days for 9 months (Kshs. 8,870), service pay at 15 days' salary per completed year (Kshs. 19,710) and arrears of house rent allowance (Kshs. 40,530), totalling Kshs. 126,050. He relied on the CBA between the Claimant Union and the Kenya Association of Building and Civil Engineering Contractors, of which the Respondent was a member at the time of termination. The Respondent did not appear, and the Grievant's evidence went unchallenged. Rika J found the claim well founded in law and fact and ordered the Respondent to pay the full Kshs. 126,050 through the Claimant Union within 30 days, with costs to the Claimant. The Award is dated and was delivered at Mombasa on 6th March 2015.

Key legal issues

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01

Entitlement to terminal benefits under a CBA

Holding

The claim for notice pay, annual leave pay, pro-rata leave, service pay and house rent allowance arrears succeeds as these were available to the Grievant under the CBA

Reasoning

The Grievant testified that he was employed as a plumber from 7th January 2007 on a daily wage and his contract was terminated on 19th October 2010. The CBA between the Claimant Union and the Kenya Association of Building and Civil Engineering Contractors, of which the Respondent was a member at the time of termination, provided the claimed benefits. The evidence was unchallenged as the Respondent did not appear, and the Court found the claim well founded in law and fact.

p. 2

Legal principles established

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  • An employer whose employees are covered by a CBA concluded between a union and an employers' association of which it is a member is bound to pay the terminal benefits provided under that CBA, and unchallenged evidence of such entitlement suffices for an award

Court orders

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  1. 1.The Respondent shall, within 30 days of delivery of the Award, pay to Javan Mgosi through the Claimant Union 2 months' salary in notice pay at Kshs. 22,776; annual leave pay at Kshs. 34,164; pro-rata leave at Kshs. 8,870; service pay at Kshs. 19,710; and arrears of house rent allowance at Kshs. 40,530 - total Kshs. 126,050
  2. 2.Costs to the Claimant

Authorities

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Legislation

  • Industrial Court (Procedure) Rules 2010Rule 27(1)(a)
Jurisdiction invoked
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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Cite this brief

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Cite this brief

Caselaw, "Kenya Building, Construction, Timber and Furniture Industries Employees Union v Aqua Plumbing Co Limited [2015] KEELRC 1342 (KLR)", Case Analysis (2015). Cause Number 75 of 2014. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2015/1342/eng@2015-03-06

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