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ELRCDismissedELRC Cause (Memorandum of Claim dated 17th March 2020)· [2020] KEELRC 349 (KLR)

Union of National Research Institutes Staff of Kenya v Kenya Agricultural And Livestock Research Organization [2020] KEELRC 349 (KLR)

Employment and Labour Relations Court
16 October 2020
6,381 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~26 min to read original · ~4 min brief

The bottom line

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The court agreed the union could sue but dismissed the pay claim because KALRO couldn't pay without Treasury funds.

What this practically means

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Executive summary

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The Claimant union, representing employees absorbed into KALRO from four defunct research institutions, sued for failure to grant annual increments due in July 2018, October 2018 and January 2019 under a harmonised salary structure approved by the SRC and the KALRO Board. It sought declarations of infringement of fair labour practices, orders compelling implementation of increments and payment of arrears, and protection against victimisation. The Respondent objected on locus standi (no simple majority or recognition agreement), res judicata (an earlier suit over CBA negotiations), and funding constraints, since payments from the Consolidated Fund require parliamentary appropriation and the National Treasury declined to avail additional funds. The court framed four issues. On locus standi, it held that membership, not a simple majority or recognition agreement, gives a union the right to represent employees, and that the dispute was properly before it after conciliation under Sections 62-73 of the Labour Relations Act. On res judicata, it found the earlier suit concerned CBA negotiations, whereas this claim concerned skipped increments, so the plea failed. On the substance, the court accepted that the harmonised terms bound the Respondent, but found the non-payment was not deliberate and stemmed from lack of Treasury funding beyond its control; an order to pay would be futile. The claim was accordingly dismissed, not for lack of merit but because the reliefs were outside the Respondent's control, the Respondent having undertaken to pay once funds are availed. No orders as to costs were made.

Key legal issues

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01

Locus standi of a trade union without a simple majority or recognition agreement

Holding

The Claimant has locus standi; representation is a constitutional right under Articles 36 and 41 and Section 4 of the Labour Relations Act, and membership suffices to represent employees.

Reasoning

The court distinguished representation from recognition. Article 41(2)(c) and Sections 4(1) and (2) of the Labour Relations Act give every worker the right to join a union, and membership gives the union the right to represent the employee. A simple majority is required only for a recognition agreement under Section 54. The Respondent inherited recognition agreements from defunct institutions and never terminated them. Further, the dispute was properly referred through conciliation under Sections 62-73.

p. 6
02

Whether the claim is res judicata

Holding

The plea of res judicata fails; the earlier suit concerned negotiation of a CBA, while the present dispute concerns failure to grant annual increments.

Reasoning

Section 7 of the Civil Procedure Act requires that the matter directly and substantially in issue have been heard and finally decided in a former suit between the same parties. In Cause 1272 of 2017 the issue was negotiation of terms and conditions for a proposed CBA, whereas the instant dispute reported to the Minister was failure to grant annual increments in July 2018, October 2018 and January 2019. The issues being different, res judicata is unavailable.

p. 8
03

Whether failure to implement the harmonised terms of service breaches the Constitution and employment contracts

Holding

Although the claim has merit, the failure to pay was not deliberate but occasioned by lack of Treasury funding beyond the Respondent's control; no orders compelling payment were made.

Reasoning

The Respondent did not deny the non-implementation but showed that monies must be appropriated by Parliament from the Consolidated Fund under Article 206, that Treasury availed Kshs.500 million only for six months, and that the Cabinet Secretary for Agriculture confirmed the National Treasury could not provide additional funding. The TSC case relied on by the Respondent was distinguishable, but since funding was not availed, an order to pay would be futile and the Respondent undertook to pay once funds are available.

p. 8

Legal principles established

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  • A trade union's right to represent an employee arises from membership and does not require a simple majority or a recognition agreement; a simple majority is only necessary for purposes of a recognition agreement for collective bargaining.
  • A dispute referred to the Industrial Court after conciliation under Sections 62-73 of the Labour Relations Act is properly before the court.
  • The subject matter of a suit for res judicata purposes is determined by the facts and prayers sought, not by the orders granted.
  • Courts do not make orders in futility.

Court orders

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  1. 1.The claim is dismissed
  2. 2.No orders for costs - each party bears its own costs

Authorities

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Legislation

  • Constitution of KenyaArticles 22, 27, 36, 41, 48, 159(2)(d), 206, 206(2)(a), 206(4), 222, 223, 230(4)(b), 258, 259(11)
  • Labour Relations ActSections 4, 48, 54(1)-(3), 62, 62(1), 65(1), 73, 73(1)
  • Labour Act, 2007Section 62
  • Employment ActSections 5, 19(1)(f)
  • Kenya Agricultural and Livestock Research Act No. 17 of 2013Sections 52, 53, 54, 55
  • Civil Procedure ActSection 7
  • Civil Procedure RulesOrder 21 Rule 1
  • Employment and Labour Relations Court Rules, 2016Rule 5
  • ILO Equal Remuneration Convention, 1951 (No. 100)
  • Public Service Commission Human Resource Policy, 2016Clause B.22(1)

Cases cited (10)

  • Kenya Private University Workers Union v Aga Khan University Hospital
    [2019] eKLR
  • Teachers Service Commission v Kenya Union of Teachers & 3 Others
    (2015) eKLR
  • Council of County Governors v Attorney General & 2 Others; Commission on Revenue Allocation & 15 Others (Interested Parties)
    [2019] eKLR
  • Erastus K Gitonga & 4 others v National Environmental Management Authority; Law Society of Kenya (Interested Party)
    [2019] eKLR
  • Okiya Omtatah Okoiti v Communications Authority of Kenya and Others
    Nairobi H.C Petition No. 59 of 2015
  • Union of National Research Institutes Staff v Kenya Sugar Research Foundation (KESREF) & 2 Others
    Cause No. 650 of 2015 (consolidated with ELRC No. 1272 of 2017)
  • Teachers Service Commission v Kenya National Union of Teachers & Others
    Civil Appeal No. 196 of 2015
  • Narok County Council v Transmara County Council
    (2000) 1 EA 161
  • Commissioner of Lands v Kunste Hotel Limited
    (1997) eKLR
  • Joshua Nyagol Onyango & Others v Relief & Missions Logistics Limited
    Nairobi ELRC No. 2274 of 2015
Jurisdiction invoked
Referral of a trade dispute to the Industrial Court under Sections 62-73 of the Labour Relations Act, as read with Rule 5 of the Employment and Labour Relations Court Rules, 2016

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, "Union of National Research Institutes Staff of Kenya v Kenya Agricultural And Livestock Research Organization [2020] KEELRC 349 (KLR)", Case Analysis (2020). ELRC Cause (Memorandum of Claim dated 17th March 2020). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2020/349/eng@2020-10-16

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