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ELRCDismissedCause No. 238 of 2016· [2018] KEELRC 2589 (KLR)

William Anyka Amboye v Jaykay Enterprises Ltd [2018] KEELRC 2589 (KLR)

Employment and Labour Relations Court of Kenya
30 July 2018
2,360 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 upheld an employee's dismissal for tampering with goods, ruling his fixed-term contract ended on its own terms and rejecting all his payment claims.

What this practically means

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Executive summary

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The claimant sued the respondent seeking payment in lieu of notice, overtime, public holiday pay, leave accrued over 14 years and compensation for unfair termination, alleging his employment as storekeeper and later turn boy, begun in June 2000, was terminated on 3rd August 2014 without notice, reasons or hearing. The respondent denied continuous employment from 2000, asserting the claimant joined as a casual in 2006 and later served under a one-year written contract signed on 1st January 2014. It justified summary dismissal on grounds of gross misconduct: the claimant, while delivering a consignment of sugar, delayed and delivered underweight bags, causing financial loss and reputational damage. The court found the respondent's evidence that the claimant was on an annual contract ending December 2014 unchallenged, and held that a fixed-term contract must end on its terms. It held sections 44 and 41(2) of the Employment Act must be read together, but found the claimant was questioned before his dues were paid, and that absence of criminal proceedings does not excuse gross misconduct. All monetary claims for overtime, off-days, public holidays and leave were rejected as exaggerated, conflated and unsupported for the contract period. The claim for unfair termination failed entirely, with each party ordered to bear its own costs.

Key legal issues

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01

Nature and duration of the employment relationship

Holding

The claimant was on an annual fixed-term contract ending December 2014, not continuous employment from 2000; the contract terminated on its terms when the claimant stopped attending work

Reasoning

The respondent's evidence that the claimant was on a one-year contract was not challenged in cross-examination. Sections 8, 9 and 10 of the Employment Act allow oral contracts convertible into writing. Once issued with a written contract, the fixed-term contract had to end on its agreed terms when the claimant deserted duty and was paid terminal dues.

p. 3
02

Justification of summary dismissal for gross misconduct

Holding

The dismissal was justified; tampering with goods in transit amounted to gross misconduct under section 44(4), and internal disciplinary processes differ from criminal trials

Reasoning

The claimant delayed delivery and delivered underweight sugar, damaging the respondent's integrity and goodwill. Though never criminally charged, employment disciplinary requirements differ from criminal proceedings. Reading section 44 with section 41(2), the claimant was questioned on his conduct before his dues were computed and paid.

p. 3
03

Claims for overtime, off-duty, public holidays and leave

Holding

All such claims rejected as exaggerated, conflated and unsupported for the contract period; the 14 days leave already paid covered entitlements

Reasoning

The claims spanned 2005 to 2014, outside the annual contract period, and lacked proper computation. For the contract period, the claimant had Sundays off, no basis was shown for public holiday work, and payment for 14 days leave covered the 21 days earned over 8 months under section 28.

p. 4

Legal principles established

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  • A fixed term contract must end on its terms as agreed by the parties
  • Section 44 must be read with section 41(2) of the Employment Act; the employee must be given a hearing and notice even for gross misconduct
  • Absence of a criminal charge does not excuse gross misconduct in employment; disciplinary and criminal proceedings differ
  • Under section 10(7) of the Employment Act, failure by the employer to produce work records means the employee's claims under the contract are taken as stated

Court orders

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  1. 1.The claims for unfair termination of employment must fail
  2. 2.Each party to pay own costs

Authorities

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Legislation

  • Employment Actsection 10(1) and (3)(c)
  • Employment Actsection 10(7)
  • Employment Actsections 8, 9
  • Employment Actsection 44(3) and 44(4)
  • Employment Actsection 41(2)
  • Employment Actsection 28

Cases cited (3)

  • Charles Mumo Nyumu versus Bollore Africa Transport & Logistics Kenya Limited
    Cause No.1730 of 2014
  • Joseph Onyango Asere v Brookside Dairy Limited
    [2016] eKLR
  • George Musamali versus G4S Security Services Kenya Ltd
    [2016] eKLR
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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Later judgments citing this (1)

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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, "William Anyka Amboye v Jaykay Enterprises Ltd [2018] KEELRC 2589 (KLR)", Case Analysis (2018). Cause No. 238 of 2016. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2018/2589/eng@2018-07-30

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