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Case Brief · caselaw.co.ke
ELRCPartially AllowedMemorandum of Claim dated 14th October 2014, filed 17th October 2016 (Cause)· [2018] KEELRC 782 (KLR)

Martin Sikuku Wamalwa v Diamond Industries Limited [2018] KEELRC 782 (KLR)

Employment and Labour Relations Court
31 October 2018
991 words in judgment
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The bottom line

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A Kenyan court refused an unfair dismissal claim because the employee skipped his employer's disciplinary process, but awarded him 16 years' unpaid leave pay.

What this practically means

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Executive summary

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The Claimant, Martin Sikuku Wamalwa, sued Diamond Industries Limited for unlawful dismissal and unpaid employment entitlements, alleging he was employed as a cutter in 1999, promoted to machine operator, kept in casual employment for 16 years, denied leave, overtime pay and statutory remittances, and dismissed without notice on 5th March 2015. He sought reinstatement, notice pay, 16 years' leave pay, house allowance, terminal benefits, overtime compensation, 12 months' salary compensation, damages and costs. The Respondent maintained he was a casual employee paid daily and that on 5th March 2015 he negligently produced 66,000 poor quality wrapped soap tablets; he refused a show cause letter and never returned to work. The court framed two issues: whether the dismissal was unlawful, and whether remedies were due. It held the dismissal claim failed because the Claimant by his own admission refused the show cause letter and the employer's internal disciplinary process, applying the court's own decision in Jackson Butiya v Eastern Produce Limited; the notice pay claim also failed. The house allowance claim failed as the daily rate was a consolidated rate; terminal benefits, damages and overtime were not proved. However, the Respondent's witness admitted continuous long service, and with no leave records the claim for 16 years' leave pay succeeded. Judgment was entered for the Claimant for Kshs. 174,720 with interest at court rates from the date of judgment and costs of the case.

Key legal issues

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01

Unlawful and unfair dismissal

Holding

Claim fails because the Claimant refused the show cause letter and internal disciplinary process

Reasoning

The Claimant admitted refusing to receive the show cause letter on advice of his union. Having by his own admission declined to avail himself of the employer's internal disciplinary procedure, he cannot lay a claim for unlawful and unfair dismissal. The dismissal claim and the notice pay claim therefore fail and are dismissed.

p. 2
02

Leave pay

Holding

Succeeds; the long-serving employee was entitled to annual leave and the employer had no leave records

Reasoning

Although the Respondent claimed the Claimant was a casual employee paid a daily rate, its witness admitted in cross-examination that the Claimant had worked continuously for a long time. He was therefore entitled to annual leave, and with no leave records showing exhaustion of leave days, the claim for 16 years' leave pay succeeds at Kshs. 174,720.

p. 2
03

House allowance, terminal benefits, damages and overtime

Holding

All dismissed

Reasoning

The daily rate was ordinarily a consolidated pay rate, defeating the house allowance claim. No basis was laid for terminal benefits or damages, and the overtime claim was not proved. Each of these heads therefore fails.

p. 2

Legal principles established

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  • An employee who refuses to engage the employer's internal disciplinary/grievance process cannot later claim unfair dismissal
  • Where an employer has no leave records showing leave was taken, a claim for leave pay succeeds

Court orders

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  1. 1.Judgment entered in favour of the Claimant in the sum of Kshs. 174,720 being leave pay for 16 years
  2. 2.Interest at court rates from the date of judgment until payment in full
  3. 3.Claimant awarded the costs of the case

Authorities

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Cases cited (1)

  • Jackson Butiya v Eastern Produce Limited
    Cause No 335 of 2011
Jurisdiction invoked
Employment and Labour Relations Court jurisdiction over employment disputes

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, "Martin Sikuku Wamalwa v Diamond Industries Limited [2018] KEELRC 782 (KLR)", Case Analysis (2018). Memorandum of Claim dated 14th October 2014, filed 17th October 2016 (Cause). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2018/782/eng@2018-10-31

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