Samson Ndika Olinga v Jiku Builders Limited [2016] KEELRC 34 (KLR)
The bottom line
#A Kenyan court ruled a carpenter's dismissal without notice or a hearing was unfair, awarded his dues, but denied costs because a labour consultant filed the claim.
What this practically means
#Executive summary
#Key legal issues
#Status of the employee and fairness of termination
The Claimant, having worked continuously for 10 months, was a protected employee under section 37 of the Employment Act; the termination without notice, reasons or a hearing was unfair
The court found the Claimant worked from 24th April 2011 to 2nd March 2012 continuously, attracting section 37 protection. Termination is regulated by sections 35, 43 and 41 of the Employment Act, requiring notice with reasons and a hearing where misconduct is alleged. On the Claimant's uncontroverted testimony, he was told there was no work, given no reasons and no notice, while his workmates remained employed. Failure to meet these procedural and substantive requirements rendered the termination unfair under section 45.
Quantification of monetary dues under the Wage Order
Underpayment of Kshs.480, overtime of Kshs.2,823.75, leave of 22 days at Kshs.11,044, house allowance of Kshs.22,770 and tools allowance of Kshs.1,520 were awarded, computed on the Building and Construction Industry Wage Order daily rate of Kshs.502 for a carpenter
Applying the Wage Order in the Building and Construction Industry, the court computed underpayment at Kshs.2 per day over 10 months (Kshs.480), overtime at 1.5 times the daily rate for 30 excess hours (Kshs.2,823.75), 22 days' leave (Kshs.11,044), monthly house allowance of Kshs.2,277 for 10 months (Kshs.22,770) and tools allowance of Kshs.152 per month (Kshs.1,520).
Burden of proving public holiday pay
The claim for pay for 7 public holidays failed for lack of proof even in an undefended suit
Although there was no defence, the court held that a claimant must still justify claims on their merits. The Claimant did not identify which public holidays he worked, and since public holidays fall on different days each year, the claim could not be allowed in general terms.
Costs where proceedings initiated by an unqualified labour consultant
No costs awarded because the claim and notices were lodged by a labour consultant not qualified to institute the proceedings
The court noted the claim and notices to the Respondent were by K/S A.O Jacob Kenya Labour Consultant, which is not a qualified entity for purposes of the proceedings. Following its prior decisions in Timothy Munyaka v Nairobi Pacific Hotel Ltd and Mercy Kanini Lilian v Ali Ishmael Mwangi, no costs were due despite the later change to the Claimant's current advocates.
Legal principles established
#- Continuous employment for the period served brings an employee within the protection of section 37 of the Employment Act as a full-time employee
- Failure to comply with the procedural and substantive requirements for termination renders the termination unfair under section 45 of the Employment Act
- A claimant must specifically justify a claim for public holiday pay; it cannot be put in general terms
- Costs will not be awarded where the claim was lodged by an entity not qualified to institute proceedings
Court orders
#- 1.Judgment entered for the Claimant against the Respondent for notice pay for one (1) month at Kshs.15,060.00
- 2.Underpayments awarded at Kshs.480.00
- 3.Overtime pay awarded at Kshs.2,823.75
- 4.Leave days' pay awarded at Kshs.11,044.00
- 5.House allowance due awarded at Kshs.22,770.00
- 6.Tools allowance awarded at Kshs.1,520.00
- Jurisdiction invoked
- Employment and Labour Relations Court jurisdiction over the claim of unlawful termination of employment and non-payment of terminal dues/benefits (Employment Act)
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Samson Ndika Olinga v Jiku Builders Limited [2016] KEELRC 34 (KLR)", Case Analysis (2016). Cause No. 1095 of 2012. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2016/34/eng@2016-11-25
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.