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ELRCPartially AllowedNot stated in judgment· [2015] KEELRC 1592 (KLR)

Tailors & Textiles v Global Apparels (EPZ) Limited [2015] KEELRC 1592 (KLR)

Industrial Court of Kenya (Employment and Labour Relations Court)
23 April 2015
1,568 words in judgment
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The bottom line

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A Kenyan court ruled that workers who boycott work lose lock-out claims, but employers cannot use summary dismissal when a normal termination fits.

What this practically means

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Executive summary

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Four Grievants - Charles Momanyi, Robert Wambua, Elijah Nchore and Sylvester Odhiambo, employed as Cutters - claimed they were locked out by their employer after demanding arrears of a 10% general wage increase under a General Wages Order effective 1st May 2010. The employer conceded that a payroll error meant the increment was not paid with June 2010 salaries on 2nd July 2010, and that it was rectified on 5th July 2010. The Grievants walked out on 2nd July and did not return despite pleas; dismissal letters for desertion issued on 12th July 2010 under the Employment Act and Clause 16 of the CBA. Wambua and Nchore withdrew their claims and testified for the Respondent. The court framed two issues: whether the Grievants were locked out or deserted, and their entitlement to remedies. It found no unlawful lock out - the Grievants had a genuine grievance but dealt with it unreasonably by boycotting work while the error was being rectified. However, the court held that although there was lawful cause to terminate, the circumstances did not justify summary dismissal. The summary dismissal was commuted to a normal termination, and the two remaining Grievants were awarded normal-termination dues: Momanyi Ksh.90,767.00 and Odhiambo Ksh.46,361.00, covering salary for days worked, notice pay, gratuity, salary and house allowance underpayment and overtime. Twelve-month compensation and lock-out claims were refused. Awards carry interest at court rates from the date of judgment, and the Respondent was ordered to pay the costs of the suit. Judgment dated 23rd April 2015, delivered 24th April 2015.

Key legal issues

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01

Whether the Grievants were unlawfully locked out or deserted work

Holding

They were not locked out; they deserted work after walking out in protest over a pay error that was being rectified

Reasoning

The court found that on 2nd July 2010 the Grievants did not receive the 10% wage increment due to a payroll error; the Respondent promised to rectify it and did so on 5th July 2010. The Grievants walked out in protest and, though temporarily stopped at the gate on 3rd July, met management with a union representative. They chose not to resume work despite pleas, and dismissal letters issued for desertion on 12th July 2010 under the Employment Act and Clause 16 of the CBA.

p. 4
02

Remedies entitlement

Holding

Summary dismissal commuted to normal termination; normal-termination dues (notice pay, gratuity, arrears, underpayment, overtime) awarded to the two remaining Grievants

Reasoning

Having found lawful cause but unjustifiable summary dismissal, the court commuted the dismissal to normal termination and awarded the dues attached to normal termination: salary for days worked, notice pay, gratuity, salary and house allowance underpayment and overtime. Robert Wambua and Elijah Nchore withdrew their claims and testified for the Respondent, leaving only Momanyi and Odhiambo. The 12-month compensation for unfair termination was not awarded because termination was for lawful cause.

p. 4

Legal principles established

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  • An employee who deserts work following a work boycott may have summary dismissal commuted to normal termination where circumstances do not justify summary dismissal
  • Summary dismissal requires justification beyond lawful cause given the circumstances of the case

Court orders

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  1. 1.Claims for unlawful and unfair lock out dismissed
  2. 2.Summary dismissal of Charles Momanyi and Sylvester Odhiambo commuted to normal termination
  3. 3.Award of Ksh.90,767.00 to Charles Momanyi (salary for days worked, notice pay, gratuity, salary and house allowance underpayment, overtime)
  4. 4.Award of Ksh.46,361.00 to Sylvester Odhiambo (salary for days worked, notice pay, gratuity, salary and house allowance underpayment, overtime)
  5. 5.Awards to attract interest at court rates from date of judgment till payment in full
  6. 6.Respondent to pay the costs of the suit

Authorities

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Legislation

  • Employment Act(summary dismissal for desertion - section not specified)
  • General Wages Order (Legal Notice No. 97 dated 18th June, 2010)10% general wage increase effective 1st May, 2010
  • Collective Bargaining Agreement (CBA)Clause 16 - summary dismissal for absence from work
Jurisdiction invoked
Employment and Labour Relations jurisdiction (Industrial Court); Employment Act and CBA invoked

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, "Tailors & Textiles v Global Apparels (EPZ) Limited [2015] KEELRC 1592 (KLR)", Case Analysis (2015). Not stated in judgment. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2015/1592/eng@2015-04-23

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