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ELRCPartially Allowed· [2018] KEELRC 1448 (KLR)

Pheric Bendera Luganje v Niels Gustav Biering [2018] KEELRC 1448 (KLR)

Employment and Labour Relations Court
19 July 2018
2,317 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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A Kenyan employer must follow fair dismissal procedures even for domestic workers, or pay compensation despite having a valid reason to terminate.

What this practically means

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Executive summary

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The Claimant, employed by the Respondent as a Domestic Help from 1st July 2005 until 16th December 2014, claimed her contract was unfairly terminated. She sought house allowance arrears for 2010-2014, unpaid extra-work allowances of Kshs. 5,000 per month for 2009-2011, compensation for unfair termination, costs and interest. The Respondent conceded the employment but argued the termination was lawful: the Claimant declined to care for the Respondent's adopted Baby when his partner travelled to Nairobi, and she received one month's salary in lieu of notice on a consolidated salary of Kshs. 16,200. The Respondent called two co-employees who supported his account of consolidated salaries and staff meetings. The Court found the Claimant worked 9½ years and that the Respondent proved a valid reason for termination under Sections 43 and 45 of the Employment Act - her refusal to care for the Baby. However, the Respondent breached Section 41: there was no disciplinary hearing, no show-cause letter, no written charges, and the termination letter disclosed no reasons, an informal approach the Court rejected given ILO Domestic Workers Convention No. 189. House allowance arrears and extra-work allowances were rejected, as salaries were consolidated, above the statutory minimum, and already adjusted for additional workload. The Court awarded compensation of 5½ months' salary (Kshs. 89,100), made no order on costs, and granted interest at 14% per annum from the date of judgment until payment in full.

Key legal issues

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01

Valid reason for termination

Holding

The Respondent proved a valid reason - the Claimant refused to take care of the adopted Baby when required

Reasoning

The Respondent's evidence, corroborated by Salome, established that it had been agreed the two househelps would care for the Baby. When the Baby's mother travelled to Nairobi, the Claimant declined to relieve Salome. The court held the Baby could not be left unattended and that the Claimant ought to have sought an amicable separation if unwilling to accept the changed role.

p. 3
02

Procedural fairness

Holding

The Respondent failed to accord the Claimant procedural justice under Sections 41 and 45 of the Employment Act

Reasoning

There was no disciplinary hearing, no show-cause letter, no written particulars of the offences, and the termination letter disclosed no reasons. Although the Respondent engaged the Trade Union, he failed to invite the Claimant to a hearing accompanied by a Union representative. The informal approach was inappropriate even in a domestic-worker setting, consistent with ILO Domestic Workers Convention No. 189 of 2011.

p. 4
03

House allowance claim

Holding

Rejected; salaries were consolidated and included the housing element

Reasoning

Evidence from Salome and Kombe, and the salary acknowledgment books, showed monthly salaries and retirement benefits factored in the housing element. Salaries exceeded the statutory minimum for domestic workers, and the Claimant never raised the complaint in the Respondent's staff meetings.

p. 3
04

Compensation for unfair termination

Holding

Awarded 5½ months' salary (Kshs. 89,100) despite substantive justification, for the procedural failure

Reasoning

Because the termination was procedurally flawed, the Court exercised its discretion under the Employment Act to award compensation equivalent to 5½ months of the Kshs. 16,200 monthly salary, balancing the valid reason against the denial of fair procedure.

p. 4

Legal principles established

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  • Domestic workers are not to be excluded from the protection of labour legislation, including procedural fairness requirements
  • Termination may be substantively justified yet procedurally unfair where no show-cause or disciplinary hearing is accorded

Court orders

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  1. 1.The Respondent shall pay to the Claimant the equivalent of 5½ months' salary in compensation for unfair termination, at Kshs. 89,100
  2. 2.No order on the costs
  3. 3.Interest granted at 14% per annum, from the date of Judgment, till payment is made in full

Authorities

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Legislation

  • Employment ActSections 41, 43 and 45
  • ILO Domestic Workers Convention No. 189

Cases cited (1)

  • Linet Akasa Shikoli v. Lilian Otundo
    [2014] e-KLR
Jurisdiction invoked
Employment and Labour Relations Court jurisdiction over employment disputes (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, "Pheric Bendera Luganje v Niels Gustav Biering [2018] KEELRC 1448 (KLR)", Case Analysis (2018). . Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2018/1448/eng@2018-07-19

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