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ELRCPartially AllowedEmployment Cause (memorandum of claim filed 06.07.2016)· [2019] KEELRC 2554 (KLR)

Mathew Munyao v National Transport & Safety Authority [2019] KEELRC 2554 (KLR)

Employment and Labour Relations Court
4 January 2019
7,877 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~32 min to read original · ~4 min brief

The bottom line

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Kenya's Employment Court ruled NTSA unfairly sacked its Road Safety Director, awarding him Kshs. 7.3 million for his unexpired contract term.

What this practically means

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Executive summary

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The claimant, employed as Director Road Safety by the National Transport and Safety Authority (NTSA) on a three-year fixed-term contract from June 2014, was terminated on 22.01.2016 after disciplinary proceedings arising first from complaints of corruption conveyed by the Principal Secretary, then from fresh allegations of dishonesty, false imprest claims and insubordination. He sued seeking declarations of unconstitutional and unfair termination, reinstatement and financial compensation; the respondent counterclaimed for declarations of lawful termination, a permanent injunction and removal of the claimant's social media publications ('#Corruption Den'). The court found that none of the three stated reasons for termination was established: no evidence showed the claimant issued the trainers' list as an approved list; the imprest allegations were unsupported and unsurcharged; and the insubordination finding identified no abusive language as required by section 47(5), being also introduced without notice. Procedurally, the Board adopted the ad hoc committee's preliminary report and thereby predetermined the case, and wrongly subjected the claimant, not a state officer, to the Leadership and Integrity Act. The termination was unfair in substance and procedure under sections 43, 45 and 47. The court awarded reinstatement limited to the unexpired 16 months of the contract, valued at Kshs. 7,369,280.00, refusing further compensation, general damages and full-term reinstatement. The counterclaim failed: a public body cannot sue in defamation, the claimant's publications enjoyed qualified privilege, and no Article 24 limitation justified curtailing his rights. Judgment was entered for the claimant with costs, and the counterclaim dismissed with costs.

Key legal issues

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01

Validity of reasons for termination under section 43

Holding

None of the three stated reasons (issuing an approved list of trainers, false imprest claims, insubordination) was established as a valid reason at the time of termination

Reasoning

No evidence showed the claimant issued the trainers' list to operators; keeping a repository list was within his duties. No proof supported the imprest allegations, no amount was quantified and no surcharge or counterclaim was made. On insubordination, the HR Committee did not identify the abusive or insulting language as required by section 47(5), and the ground was introduced without prior notice contrary to section 41.

p. 6
02

Due process in the disciplinary proceedings

Holding

The procedure was procedurally unfair: the Board adopted the ad hoc committee's preliminary report, predetermining the disciplinary case, and some grounds were introduced without notice

Reasoning

The Board, as final decision-maker, ought to have kept an arm's-length position from the investigative function; by adopting the preliminary report it predetermined the case. The show-cause proceedings were also founded on the erroneous premise that the claimant was a state officer subject to the Leadership and Integrity Act, which was oppressive and unfair. Some reasons were raised at hearing without prior notice, breaching section 41.

p. 6
03

Remedies - reinstatement

Holding

Reinstatement justified but limited to the unexpired 16 months of the fixed-term contract, with 16 months' salary of Kshs. 7,369,280.00

Reasoning

The contract would have expired around June 2017; the renewal clause's conditions had not accrued, so legitimate expectation of renewal was mere hope. The claimant served with a clean record and was removed through a largely predetermined process violating Article 236; this was a compelling circumstance under section 49 justifying reinstatement for the unexpired term only.

p. 7
04

Counterclaim - injunction and removal of publications

Holding

Counterclaim dismissed; the claimant's publications were on a privileged occasion and a public body cannot sue in defamation

Reasoning

A public body cannot at common law maintain a defamation action; the defamed individuals were not parties. The claimant established a moral and social duty to reply publicly, amounting to qualified privilege, especially as the respondent retained his profile on its website. The respondent failed to establish any Article 24 limitation of the claimant's rights under Articles 33, 34 and 35.

p. 8

Legal principles established

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  • An authority vested with power to make a final disciplinary decision must keep an arm's-length position from the investigative function, failing which the decision is predetermined and procedurally unfair
  • An employer must specify the alleged abusive or insulting words to discharge the burden under section 47(5) of the Employment Act
  • A public body or government agency cannot maintain an action in defamation at common law
  • Jurisdiction to bar a serving or former public officer from publishing information is to be exercised very sparingly and only upon clearly established breach of public service terms, code of conduct or law
  • An employee unfairly suspended or terminated is entitled to at least partial reinstatement for the unexpired term and the salaries due for that period

Court orders

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  1. 1.Declaration that the respondent's action to terminate the claimant's employment was unfair within the meaning of section 45 of the Employment Act and therefore grossly unfair
  2. 2.Declaration that the respondent's actions infringed on the claimant's legitimate expectation that as a public authority it would uphold fairness, equality, good governance, natural justice and constitutionalism
  3. 3.Respondent to pay the claimant Kshs. 7,369,280.00 by 01.03.2019, failing which interest at court rates from the date of judgment till full payment
  4. 4.Dismissal of the counterclaim with costs
  5. 5.Respondent to pay the claimant's costs of the suit

Authorities

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Legislation

  • Constitution of Kenya, 2010Articles 10, 24, 25, 27, 28, 32, 33, 34, 35, 41, 47, 50, 73(1)(ii), 232, 236, 260
  • Employment Act, 2007sections 41, 42, 43, 44(4)(a),(d),(e), 45, 45(2)(c), 47(5), 49, 49(4)(f)
  • Leadership and Integrity Act, 2012sections 10(a),(b),(c), 11(b),(d), 12(1), 13(b),(c), 13(1)(a),(b),(d), 29, 34

Cases cited (11)

  • CMC Aviation Limited –Versus- Mohammed Noor
    [2015]eKLR
  • National Cereals and Produce Board –Versus- John Kirui Tongorei
    [2017]eKLR
  • Paul Nyadewo Onyangoh –Versus- Parliamentary Service Commission and Another
    [2018]eKLR
  • Teresa Carlo Omondi –Versus- Transparency International Kenya
    [2017]eKLR
  • Kenya Union of Printing, Publishing, Paper Manufacturers and Allied Workers –Versus- Timber Treatment International Limited
    [2013]eKLR, Industrial Cause No. 21 of 2012 at Nakuru
  • Nairobi City County Government –Versus- John Kamau and Another
    [2017]eKLR
  • Derby Shire County Council –Versus- Times Newspaper Limited
    (1993) 1 All ER 1011
  • PTC –Versus- Modus Publications (PVT) Limited
    (1997) (2) ZLR 492
  • Francis Cherono Ngeny and 11 Others –Versus- Sammy Kiprop Kilach
    [2017]eKLR
  • Chirau Ali Mwakere –Versus- Nation Media Group Limited and Another
    [2009]eKLR
  • Halsbury's Laws of England 4th Edition Re-issue Volume 28
    paragraph 109
Jurisdiction invoked
Employment and Labour Relations Court jurisdiction under the Employment Act, 2007 and the Constitution (Articles 41, 47, 236 invoked)

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, "Mathew Munyao v National Transport & Safety Authority [2019] KEELRC 2554 (KLR)", Case Analysis (2019). Employment Cause (memorandum of claim filed 06.07.2016). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2019/2554/eng@2019-01-04

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