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ELRCPartially AllowedCause No 96 of 2017· [2018] KEELRC 134 (KLR)

Thomas Osieko Amulele v Catholic Diocese of Nakuru [2018] KEELRC 134 (KLR)

Employment and Labour Relations Court of Kenya
6 December 2018
2,798 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 awarded a retired mechanic some unpaid wages and leave pay but rejected his unfair termination claim, stressing the strict three-year deadline for employment claims.

What this practically means

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Executive summary

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The claimant, employed by the respondent from 30 May 1995 as Mechanic Grade II, served under successive fixed term contracts, the last written one ending 31 December 2013 (or 2012 per the narrative). He was paid Ksh.8,867.00 in terminal dues and issued a letter dated 16 July 2015 retiring him with effect from 31 December 2014. He claimed unfair termination, underpayments dating back to 2006, untaken annual leave for 2009-2011, and wages for January to July 2015. The respondent asserted he absented himself from work from November 2014, applied to retire on medical grounds on 11 March 2015, and was retired at his own volition with all dues paid in full and final settlement. The court framed two issues: whether there was unfair termination and whether remedies were due. It held that each fixed term contract created a new employment relationship, and the final unwritten period fell under section 8 of the Employment Act. Applying section 90, the court limited claims to the three years preceding filing on 25 April 2017, barring the underpayment and older leave claims. The claimant's sickness absence was unexcused for want of a medical certificate, but the respondent's failure to address his absence entitled him to wages to 11 March 2015. Employment having ended on the claimant's own retirement application, there was no unfair termination. The court awarded Ksh.34,502.00 in wages and Ksh.10,204.60 in leave pay, less Ksh.8,867.00 already paid, with 50% costs and a Certificate of Service.

Key legal issues

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01

Nature of employment under successive fixed term contracts

Holding

Each fixed term contract created a new employment relationship; the final unwritten period was regulated under section 8 of the Employment Act

Reasoning

The claimant served under successive fixed term contracts, the last written one ending 31 December 2013. After that date no written contract existed, but the claimant testified he continued on the same terms. The court held the unwritten continuation fell under section 8 of the Employment Act, protecting him under the Act.

p. 3
02

Limitation of employment claims

Holding

Claims outside three years of filing are time barred under section 90

Reasoning

The Memorandum of Claim was filed on 25 April 2017, so only claims arising from employment up to 24 April 2014 could be addressed. The underpayment and leave claims predating that period were barred, following authority that the limitation period in contract matters is never extended.

p. 3
03

Absence from work due to sickness

Holding

Absence for sickness requires a medical certificate and reporting to the employer; the claimant did neither

Reasoning

Sections 30 and 34 allow sick leave subject to production of a medical certificate. The claimant produced none and did not report his sickness, though the law even permits a third party to report on his behalf. Unexcused absence is grounds for summary dismissal under section 44(4).

p. 4
04

Whether termination was unfair

Holding

No unfair termination; employment ended on the claimant's own application to retire

Reasoning

The claimant applied to retire on medical grounds on 11 March 2015, and the respondent accepted by letter dated 16 July 2015 backdating retirement to 31 December 2014. However, the respondent failed to address the claimant's absence from work and was therefore liable for wages up to 11 March 2015.

p. 4
05

Remedies due

Holding

Wages to 11 March 2015 and leave for the last year, less terminal dues already paid

Reasoning

The respondent failed to address the claimant's absence, so wages were due up to 11 March 2015 at the gross wage of Ksh.14,578.00, amounting to Ksh.34,502.00. Without work records showing leave taken, 21 days' leave pay of Ksh.10,204.60 was awarded, less the Ksh.8,867.00 already paid.

p. 4

Legal principles established

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  • Each fixed term contract constitutes a distinct employment relationship; an unwritten continuation on the same terms is governed by section 8 of the Employment Act
  • A claim based on a contract of employment must be filed within 3 years under section 90 of the Employment Act
  • An employee absent due to sickness must produce a medical certificate; failure justifies summary dismissal

Court orders

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  1. 1.Claimant to be paid due wages of Ksh.34,502.00 for the period January to 11 March 2015
  2. 2.Claimant to be paid leave pay due at Ksh.10,204.60
  3. 3.Less the sum of Ksh.8,867.00 already paid in terminal dues
  4. 4.Claimant awarded 50% of his costs
  5. 5.Claimant to be issued with a Certificate of Service in accordance with section 51 of the Employment Act, 2007

Authorities

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Legislation

  • Employment Act, 2007section 74
  • Employment Act, 2007section 90
  • Employment Act, 2007section 8
  • Employment Act, 2007sections 30 and 34
  • Employment Act, 2007section 44(4)
  • Employment Act, 2007section 44
  • Employment Act, 2007section 51

Cases cited (6)

  • Patson Musembi Kitolo versus Kin Jin Lee & another
    [2015] eKLR
  • Nyanamba O Steve versus TSC
    [2016] eKLR
  • Beatrice Kahai Adagala versus Postal Corporation of Kenya
    [2015] eKLR
  • Divecon Limited -vs- Samani
    [1995-1998] 1 EA P.48
  • Josephat Ndirangu - vs - Henkel Chemicals (EA) Limited
    [2013] eKLR
  • Stephen Kariuki and another versus Michael Njoroge and Sandstone Logistic Limited/Cylinder Works Limited
    Cause No.888 of 2010
Jurisdiction invoked
Employment and Labour Relations Court jurisdiction under the Employment Act, 2007

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, "Thomas Osieko Amulele v Catholic Diocese of Nakuru [2018] KEELRC 134 (KLR)", Case Analysis (2018). Cause No 96 of 2017. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2018/134/eng@2018-12-06

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