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ELRCDismissedMemorandum of appeal dated 8th March 2007 (number not stated in judgment)· [2016] KEELRC 1116 (KLR)

Crescent Construction Limited v Zakaria Maina [2016] KEELRC 1116 (KLR)

Employment and Labour Relations Court
31 May 2016
1,081 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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A Kenyan court confirmed that a watchman who worked five years continuously was not a casual worker and deserved full terminal benefits.

What this practically means

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Executive summary

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This is a first appeal to the Employment and Labour Relations Court at Nairobi, decided by Mathews Nderi Nduma, Principal Judge, on 31st May 2016, against a judgment of Senior Principal Magistrate Hon. E. Maina delivered on 21st February 2007 in a claim commenced by plaint on 30th January 2002. The appellant, a construction company, argued that the lower court's findings were unsupported by evidence and the repealed Employment Act (Cap 226); that the magistrate shifted the burden of proof; and that the respondent was a casual watchman whose employment ended with the construction project. The respondent opposed the appeal. The court found that although the statement of defence denied employment outright, DW1, the appellant's administration manager, admitted the respondent was employed as a watchman, a contradiction that undermined the defence. On the evidence, the respondent worked continuously from 1996 to 14th June 2001 (5 years and 3 months) and could not be classified as a casual. The court held the magistrate correctly awarded notice pay under section 16 of the repealed Employment Act, 76 days' accumulated leave, house allowance at 15% of basic pay, overtime consideration and severance pay under the applicable Construction Sector CBA and Regulation of Wages (Building Construction Industry) order. Distinguishing Benson Omuyonge v Lax ManBhai Construction Limited and applying Daniel Mungai v Kabuito Contractors Limited, the court held that even intermittent construction employees are entitled to notice, leave, house allowance and overtime. Finding no error in the magistrate's evaluation of evidence or burden-of-proof allocation, the court dismissed the appeal with costs in both courts.

Key legal issues

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01

Employment status of the respondent - casual or permanent

Holding

The respondent, having worked continuously from 1996 to 2001 (5 years and 3 months), was not a casual employee and was entitled to terminal benefits

Reasoning

The court found as a fact that the respondent worked continuously, disproving the appellant's assertion of intermittent/project-tied casual employment. DW1's admission that the respondent was employed as a watchman contradicted the defence's outright denial of employment, undermining the appellant's case. Continuity of service over five years precluded casual classification.

p. 3
02

Burden of proof

Holding

The lower court did not shift the burden of proof; the particulars of claim were proved on a balance of probability

Reasoning

The court rejected the appellant's complaint that the magistrate erred by requiring the appellant to disprove the claims, holding that the respondent had proved his claim, including special damages, through his own testimony and that of PW2 on a balance of probability.

p. 2
03

Entitlement to notice pay, leave, house allowance and overtime

Holding

The respondent was entitled to one month's notice pay under section 16 of the repealed Employment Act, accumulated leave of 76 days, house allowance at 15% of basic pay, and severance pay under the applicable CBA

Reasoning

The magistrate's findings on each head were supported by evidence: no letter of appointment, payslip or certificate of service was issued; the respondent worked 14-hour nights without overtime pay; and the Construction Sector CBA and Regulation of Wages order entitled him to house allowance, leave and severance.

p. 2

Legal principles established

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  • An employee in continuous employment for over five years cannot be classified as a casual and is entitled to terminal benefits
  • Even intermittent employees in the construction industry are entitled to notice pay, leave pay, house allowance and overtime under the applicable Regulation of Wages order and CBA

Court orders

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  1. 1.The appeal is dismissed
  2. 2.Costs of the appeal and of the court below awarded to the respondent

Authorities

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Legislation

  • Employment ActCap 226 (now repealed), section 16
  • Regulation of Wages (Building Construction Industry) Ordernot stated

Cases cited (2)

  • Benson Omuyonge vs. Lax ManBhai Construction Limited
    [2014] eKLR
  • Daniel Mungai Vs. Kabuito Contractors Limited
    Cause no. 1990 of 2011
On appeal from
Senior Principal Magistrate's Court
not stated (judgment delivered 21st February 2007)
Jurisdiction invoked
First appellate jurisdiction over the Senior Principal Magistrate's judgment (Employment Act Cap 226 dispute)

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, "Crescent Construction Limited v Zakaria Maina [2016] KEELRC 1116 (KLR)", Case Analysis (2016). Memorandum of appeal dated 8th March 2007 (number not stated in judgment). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2016/1116/eng@2016-05-31

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