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ELRCPartially AllowedCause No 1836 of 2014· [2019] KEELRC 1716 (KLR)

Naomi Wangari Muriu v Royal Garment Industries EPZ Limited [2019] KEELRC 1716 (KLR)

Employment and Labour Relations Court
6 May 2019
2,862 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 that even with valid reasons for dismissal, an employer must still give the employee a hearing, or the dismissal is unfair.

What this practically means

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Executive summary

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The Claimant was employed by the Respondent on 3rd January 2014 on a 12-month contract as a mass production machinist, later a line supervisor, at a monthly salary that rose from Kshs.24,000 to Kshs.35,000. She challenged her termination by a Memorandum of Claim dated 16th October 2014, seeking a declaration that her dismissal was wrongful and unfair, salary for the unexpired term (Kshs.140,000), twelve months' compensation (Kshs.420,000), punitive and aggravated damages for breach of constitutional rights, and costs. The Respondent maintained that the Claimant's performance on production line 11 had declined, that she failed to respond to a notice to show cause dated 8th September 2014, and that her summary dismissal on 10th September 2014 was lawful and justified, with her dues being Kshs.17,099. The Claimant testified and Wellington Atanasi and Samuel Otieno Mwai testified for the Respondent. The court framed two issues: whether the termination was lawful and fair, and entitlement to reliefs. It held that although the reasons for termination were valid (poor performance), the process was flawed because the Respondent denied the Claimant a hearing as required by section 41 of the Employment Act and its own HR manual; section 44 on summary dismissal must be read with the mandatory section 41. The termination was therefore unfair. Compensation of three months' salary (Kshs.36,852) was awarded. The unexpired-term claim failed as duplicative and the constitutional damages claim failed for want of specification of the rights infringed. Judgment was entered for the Claimant with costs against the Respondent.

Key legal issues

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01

Whether the Claimant's employment was lawfully and fairly terminated

Holding

The reasons for termination were valid (poor performance), but the termination was procedurally unfair because the Claimant was denied a hearing as required by section 41 of the Employment Act and the respondent's HR manual.

Reasoning

Although the show cause letter and dismissal letter were shown at trial not to have been issued simultaneously (8th and 10th September 2014), the Claimant never responded to the show cause letter. The court held the next step should have been disciplinary proceedings according her an opportunity to present her case. Following Mary Chemweno Kiptui, the procedure under section 41 is mandatory; skipping it made the termination unfair despite valid grounds.

p. 4
02

Whether the Claimant is entitled to the reliefs sought

Holding

Compensation for unfair termination awarded at three months' salary; the unexpired-term claim failed as duplicative; punitive/aggravated damages failed for lack of proof of constitutional infringement.

Reasoning

The compensation claim succeeded because the termination was unfair and unlawful. The court, considering the circumstances, awarded three months' salary. The unexpired-term claim duplicated the compensation prayer. The constitutional damages claim failed because the Claimant never specified which rights were infringed or how.

p. 4

Legal principles established

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  • Section 44 of the Employment Act on summary dismissal must be read together with section 41; the procedure under section 41 is mandatory even in summary dismissal.
  • Valid reasons for termination do not cure a flawed procedure; denial of a hearing renders termination unfair.
  • Burden of proving unfair termination rests on the employee, while the burden of justifying the grounds rests on the employer (section 47(5)).

Court orders

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  1. 1.Judgment entered for the claimant against the respondent in the sum of Kshs.36,852/= (three months' salary as compensation)
  2. 2.The respondent shall pay claimant's costs

Authorities

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Legislation

  • Employment Actsection 47(2)
  • Employment Actsection 47(5)
  • Employment Actsection 44
  • Employment Actsection 41
  • ILO Convention 158Article 4
  • Constitution of Kenyareferenced generally re alleged breach of constitutional rights

Cases cited (14)

  • John Rioba Maugo vs. Riley Falcon Security Services Limited
    [2016] eKLR
  • Mary Chemweno Kiptui vs. Kenya Pipeline Company Limited
    [2014] eKLR
  • Agnes Kavata Mbiti vs. Housing Finance Company Limited
    [2017] eKLR
  • Anthony Mkala Chitavi vs. Malindi Water & Sewerage Company Limited
    [2013] eKLR
  • Samsom Mwangi Gaita vs. Kensal Limited
    [2013] eKLR
  • John Mwanzia Mbithuka vs. Mr. Mukesh Malde & Another
    [2014] eKLR
  • Pamela K. Butalanyi vs. University Council for the Kenya Polytechnic University College
    [2015] eKLR
  • Alex Wainaina Mbugua vs. Kenya Airways Limited
    [2017] eKLR
  • Fredrick Owegi vs. CIC Life Assurance
    Cause 1001 of 2013
  • Kenya Petroleum Oil Workers Union vs. Kenya Petroleum Refineries Ltd
    [2013] eKLR
  • Agnes Yahuma Digo Vs. PJ Petroleum Equipment Limited
    Cause 2049 of 2011
  • Aphonse Machanga Mwachaya Vs. Operation 680 Limited
    [2013] eKLR
  • Rebecca Ann Maina & 2 Others vs. Jomo Kenyatta University of Agriculture and Technology
    [2014] eKLR
  • Republic vs. Rosemary Wairimu Munene ex parte Applicant vs. Ihururu Dairy Farmers Co-operative Society Limited
Jurisdiction invoked
Employment and Labour Relations Court jurisdiction over employment causes under the 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, "Naomi Wangari Muriu v Royal Garment Industries EPZ Limited [2019] KEELRC 1716 (KLR)", Case Analysis (2019). Cause No 1836 of 2014. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2019/1716/eng@2019-05-06

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