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ELRCPartially AllowedCause No 739 of 2012· [2016] KEELRC 68 (KLR)

George Ochieng Owidi v Nyanza Reproductive Health Society [2016] KEELRC 68 (KLR)

Employment and Labour Relations Court of Kenya
13 May 2016
1,654 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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Kenya's Employment Court ruled that calling your boss a liar is not grounds for instant dismissal, and awarded the worker Kshs. 343,392 plus costs.

What this practically means

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Executive summary

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George Ochieng Owidi, employed by Nyanza Reproductive Health Society on a five-year contract from 7th April 2008 as cleaner/messenger and later irregularly deployed as Stores Assistant, was summarily dismissed on 12th January 2012 after he called the Finance Manager a liar during a meeting. He claimed compensation and accrued dues. The court framed three issues: valid reason, procedure and remedies. On substance, the Respondent relied on Section 44(d) of the Employment Act (insubordination/abusive language), but the court held that describing a superior as a liar is not abusive or insulting language, applying the principle from Abraham Gumba v Kenya Medical Supplies Authority that an employer alleging insubordination must provide particulars; the dismissal was therefore substantively unfair. On procedure, the summary disciplinary process contravened Section 41 of the Employment Act and the Respondent's own HR Manual, rendering it procedurally unfair. The court awarded eight months' salary (Kshs. 282,240), one month's notice pay (Kshs. 35,280) and 22 days' leave pay (Kshs. 25,872), totalling Kshs. 343,392, with interest at court rates from the date of award until payment in full. Claims for the contract balance, leave allowance and salary increment were dismissed for lack of proof. Costs were awarded to the Claimant.

Key legal issues

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01

Whether the summary dismissal was substantively justified under Section 44(d) of the Employment Act

Holding

The dismissal was substantively unfair; describing a superior as a liar does not constitute abusive or insulting language warranting summary dismissal.

Reasoning

The Respondent relied on Section 44(d), the first limb of insubordination, covering abusive or insulting language. The court consulted Black's Law Dictionary definition of 'lie' and held that saying a superior told an untruth does not qualify as insubordination or abusive language. Following Abraham Gumba, an employer alleging insubordination must provide particulars, which was not done. Hence no valid reason existed.

p. 3
02

Whether the dismissal procedure was fair

Holding

The dismissal was procedurally unfair, contravening Section 41 of the Employment Act and the Respondent's own HR Manual.

Reasoning

Section 41 mandates explanation of reasons in a language the employee understands, presence of a representative, and consideration of explanations. The summary disciplinary procedure adopted flew in the face of both the law and the Respondent's own Human Resource Policies and Procedures Manual. The Claimant was dismissed on the same day following a meeting without observance of these safeguards.

p. 4
03

Remedies for unfair termination

Holding

Eight months' salary compensation, one month's notice pay and leave pay for 22 days awarded; claims for contract balance, leave allowance and increment dismissed.

Reasoning

Given findings of both substantive and procedural unfairness, the court awarded eight months' salary taking into account length of service and the Respondent's conduct. Leave pay succeeded because the Respondent produced no leave records to counter it. The contract-balance claim had no basis laid, and leave allowance and increment claims were unproved.

p. 4

Legal principles established

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  • An employer alleging insubordination as a ground for dismissal must provide particulars of the insubordination.
  • Calling a superior a liar does not amount to abusive or insulting language justifying summary dismissal under Section 44(d) of the Employment Act.
  • Section 41 of the Employment Act prescribes a mandatory procedure before termination on grounds of misconduct.

Court orders

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  1. 1.8 months' salary in compensation (Kshs. 282,240)
  2. 2.One month's salary in lieu of notice (Kshs. 35,280)
  3. 3.Leave pay for 22 days (Kshs. 25,872)
  4. 4.Total award of Kshs. 343,392
  5. 5.Award to attract interest at court rates from the date of the award until payment in full
  6. 6.Claimant to have the costs of the case

Authorities

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Legislation

  • Employment ActSection 44(4)(d) / 44(d)
  • Employment ActSection 41
  • Employment ActSection 12

Cases cited (1)

  • Abraham Gumba v Kenya Medical Supplies Authority
    [2014] eKLR
Jurisdiction invoked
Employment and Labour Relations Court jurisdiction under the Employment Act and Labour Relations Act (first-instance employment claim)

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, "George Ochieng Owidi v Nyanza Reproductive Health Society [2016] KEELRC 68 (KLR)", Case Analysis (2016). Cause No 739 of 2012. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2016/68/eng@2016-05-13

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