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ELRCDismissedCause No. 273 of 2015· [2018] KEELRC 1030 (KLR)

Daniel Onsoro v Christ The King Academy St. Mary’s Café [2018] KEELRC 1030 (KLR)

Employment and Labour Relations Court of Kenya at Nakuru
3 October 2018
2,146 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 threw out a cook's redundancy claims because he sued the wrong employer and waited too long to claim underpayments.

What this practically means

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Executive summary

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The claimant, employed on 1st March 2007 as a Cook at St. Mary's Pastoral Centre under successive fixed-term contracts with the Catholic Diocese of Nakuru, was declared redundant by notice dated 15th June 2015 taking effect on 15th July 2015, before the expiry of his last contract running to 31st December 2016. He claimed one month's notice pay, underpayments across several contracts, lunch break pay, payment for the unexpired term of his contract, compensation, damages, costs and a certificate of service, asserting the redundancy lacked justification and that the use of short-term contracts was abusive. The respondent defended the redundancy as justified by the café's unprofitability, evidenced by consultations with staff and a one-month notice, and stated final dues of Kshs.67,861.80 had been paid. The court raised suo motu that the respondent as sued was the wrong party, the employer being the Catholic Diocese of Nakuru, holding that no lawful orders could issue against a wrong party. On the merits, the court found the redundancy complied with section 40 of the Employment Act, 2007, following Barclays Bank and Aviation & Allied Workers Union, and was for valid operational reasons. Claims predating September 2012 were time-barred under section 90. The entire claim was dismissed with each party bearing their own costs.

Key legal issues

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01

Whether the redundancy complied with section 40 of the Employment Act, 2007

Holding

The redundancy was valid: the employer met the employees, explained the closure for lack of profit, and issued a one-month written notice taking effect on 15th July 2015; there was no unfairness

Reasoning

Section 40 requires notice to the employee personally in writing and to the labour officer not less than a month before termination where the employee is not a union member. The court found that the respondent's officers met the claimant and other employees, explained that the café was not making a profit and would close, and issued a written notice of one month. Following Barclays Bank and Aviation & Allied Workers Union, this satisfied the statutory conditions and the termination was for valid operational reasons.

p. 4
02

Whether the respondent was the proper party

Holding

The respondent was the wrong party; the employer was the Catholic Diocese of Nakuru, and no orders can issue against the respondent as sued

Reasoning

The court noted that although no party raised the issue, the Memorandum of Claim, letter of appointment, pay statements and contract of employment all identified the employer as the Catholic Diocese of Nakuru. The respondent, Christ the King Academy St. Mary's Café, was not a proper party before the court, and no lawful orders could issue against it. The court nonetheless proceeded to address the substantive claims.

p. 3
03

Whether the underpayment claims were within the limitation period

Holding

Under section 90 of the Employment Act, only claims going back to September 2012 could stand; earlier contract-based claims were time-barred

Reasoning

The claimant was under written fixed-term contracts throughout his employment, and any claims arising from each contract for underpayment or unpaid dues should have been addressed within the limitation period upon lapse of each contract. The claim was filed on 25th September 2015, so only claims dating from September 2012 onwards could stand; the earlier claims were time-barred.

p. 4

Legal principles established

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  • No lawful orders can issue against a wrong party
  • Where an employer issues the requisite redundancy notice under section 40 read with section 43 of the Employment Act, the termination is justified as based on operational requirements

Court orders

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  1. 1.Dismissal of the claimant's claims against the respondent
  2. 2.Each party to bear their own costs

Authorities

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Legislation

  • Employment Act, 2007Section 40(1)(a) and (b)
  • Employment Act, 2007Section 43
  • Employment Act, 2007Section 45(2)
  • Employment Act, 2007Section 90

Cases cited (3)

  • Barclays Bank of Kenya Ltd & another v Gladys Muthoni & 20 others
    [2018] eKLR
  • Thomas De La Rue (K) Ltd v David Opondo Omutelema
    [2013] eKLR
  • Aviation and Allied Workers Union v Kenya Airways Limited & 3 others
    [2012] eKLR
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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Later judgments citing this (2)

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Judgments in the corpus that rely on this one. Where the Court said how it treated the authority, that is shown.

Cite this brief

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Cite this brief

Caselaw, "Daniel Onsoro v Christ The King Academy St. Mary’s Café [2018] KEELRC 1030 (KLR)", Case Analysis (2018). Cause No. 273 of 2015. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2018/1030/eng@2018-10-03

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