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ELRCOtherNot stated in the judgment· [2018] KEELRC 1613 (KLR)

Peter Muthuci Njiru v Attorney General [2018] KEELRC 1613 (KLR)

Employment & Labour Relations Court (formerly Industrial Court)
29 May 2018
NMNzioki wa Makau
1,096 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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Kenya's Employment Court ruled it cannot hear a retiree's pension and rent dispute—such claims belong in the High Court or Retirement Benefits Tribunal, regardless of what parties agree.

What this practically means

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Executive summary

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The Claimant, a retired Government employee under the Ministry of Water, filed suit in the High Court at Embu on 26 August 2010 seeking terminal benefits, monthly pension, a declaration that rent deductions and non-payment of pension were unlawful, special damages of Kshs. 599,431/- for allegedly wrongful rent recovery, general damages, costs and interest. The case was transferred to the Industrial Court (now ELRC) by Ong'udi J on 2 January 2014. Leave was granted to amend the suit to add the Director of Pensions and the Principal Secretary, Ministry of Water and Irrigation as Respondents. The Respondents filed defences pleading compliance requirements under the Government Proceedings Act (Cap. 39 and Cap. 40) and notice of a preliminary objection, though they later admitted the court's jurisdiction. The matter proceeded on documents under Rule 21 of the ELRC (Procedure) Rules 2016; only the Claimant filed submissions, urging an award of Kshs. 753,940/-. The court, however, declined to determine the claim on the merits. It held that the dispute over rental payments and recoveries is not an employment matter within the ELRC's jurisdiction, and that the pension claim of a retiree whose rights crystallised under the former Constitution belongs before the Retirement Benefits Tribunal or the High Court under the Retirement Benefits Act. Since parties cannot confer jurisdiction the court does not possess, the court remitted the matter to the High Court at Embu for judgment, with costs to abide that court's determination. Delivered at Nyeri on 29 May 2018 by Nzioki wa Makau J.

Key legal issues

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Jurisdiction of the ELRC over rent recovery and pension claims of a retired Government employee

Holding

The court declined jurisdiction, holding the dispute is not an employment matter per se and none of the reliefs fall within the statutes conferring jurisdiction on the ELRC

Reasoning

The Claimant retired in 2008 under the former Constitution; his pension rights had crystallised and belong properly before the Retirement Benefits Tribunal or the High Court under the Retirement Benefits Act. Rental overpayment/recovery disputes are likewise not within the Article 162(2) court's mandate. Since parties cannot confer jurisdiction the court lacks, the proper course is remittal to the High Court at Embu where the suit was filed.

p. 2

Legal principles established

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  • Parties cannot confer jurisdiction on a court that does not possess it; without jurisdiction the court cannot take a further step
  • A claim on pension crystallised under the former Constitution is best placed before the Retirement Benefits Tribunal or the High Court under the Retirement Benefits Act

Court orders

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  1. 1.The matter remitted to the High Court at Embu for determination of the matters in issue
  2. 2.The Deputy Registrar of the ELRC to remit the file to Embu High Court
  3. 3.Costs to abide the determination of the High Court

Authorities

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Legislation

  • Constitution of Kenya 2010Article 162(2)
  • Government Proceedings ActSections 12 and 13 (Cap. 40)
  • Retirement Benefits ActNot specified
  • Employment ActNot specified
  • Labour Relations ActNot specified
  • Labour Institutions ActNot specified
  • Employment & Labour Relations Court ActNot specified
  • Employment & Labour Relations Court (Procedure) Rules 2016Rule 21
Jurisdiction invoked
Employment & Labour Relations Court jurisdiction under the Employment Act, Labour Relations Act, Labour Institutions Act and Employment & Labour Relations Court Act (jurisdiction declined)

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, "Peter Muthuci Njiru v Attorney General [2018] KEELRC 1613 (KLR)", Case Analysis (2018). Not stated in the judgment. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2018/1613/eng@2018-05-29

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