Kenya County Government Workers Union v County Government of Machakos & another [2020] KEELRC 816 (KLR)
The bottom line
#Machakos County unlawfully sent 157 workers home without contracts or a hearing, and the Employment Court ordered compensation for each of them.
What this practically means
#Executive summary
#Key legal issues
#Whether the 340 Grievants were employees of the Respondents
Only 157 Grievants who presented documentation during a court-supervised verification exercise were established to be employees; they were paid monthly and thus on term employment under section 37 of the Employment Act
Because of the contested numbers, the Court ordered a joint verification exercise guided by the County Labour Officer, Machakos. The Court rejected the Union's challenge to the report, noting the Union was represented at the exercise. Only 157 Grievants presented documents such as bank statements, work tickets, P9 schedules or identity cards. The Court held it illogical to demand appointment letters when the employer was obliged to issue them, and accepted secondary records as proof of employment.
Whether the termination of the Grievants was unfair
Directing the 157 Grievants to stay away from work stations after advertising their positions, without notice or due process, constituted unfair termination and breach of contract
The Respondents advertised the Grievants' positions on 21 February 2017 and issued a Memorandum on 9 March 2017 directing those who had not applied to stay away from work stations immediately. The Court accepted the Respondents may have wanted to clean ghost workers from their records, but held that such a desire could not displace the duty to afford those already on the payroll an opportunity to be heard. Any ghost workers were on the payroll because of the Respondents' own conduct. The Grievants were entitled to protections under sections 35(1)(c), 40 and 45 of the Employment Act read with Articles 41(1) and 236 of the Constitution.
Whether failure to issue written contracts of service was an unfair labour practice
The failure to issue written contracts of service to the Grievants amounted to an unfair labour practice
Section 9(1) of the Employment Act obliges the employer to issue a written contract setting out basic conditions of employment, and section 16(4) and (5) provides for conviction and fine or other remedies for breach. Most if not all of the 157 Grievants lacked the requisite contracts. The obligation to draw the contracts rested on the Respondents, who offered no explanation for the omission, even if the Grievants had been absorbed from defunct local authorities.
Whether the appropriate remedy was reinstatement or compensation
Reinstatement was not appropriate as the relationship had ended; instead each of the 157 Grievants was awarded one month's salary in lieu of notice and damages of Kshs 50,000
The Union came to Court after the contractual relationship had been determined, making most injunctive orders unsuitable. The Grievants were on term contracts and had opted, on undisclosed Union instructions, not to apply for formal employment. The Court therefore awarded the equivalent of one month's salary in lieu of notice - which they should have been given - together with damages of Kshs 50,000 each for the unfair separation and failure to issue written contracts.
Whether the constitutional petition route was properly invoked
The breaches could have been established through the statutory route; the petition raised no constitutional questions that could not be resolved in the normal manner
Relying on the Privy Council in Harrikisson and the Court of Appeal in Gabriel Mutava, the Court held that the constitutional petition jurisdiction should not be misused as a general substitute for normal procedures. The alleged breaches were capable of proof under the Employment Act, and constitutional questions could have been raised under Rule 7(3) of the ELRC (Procedure) Rules, 2016 within a Statement of Claim. As a deterrent, the Court penalised the Union on costs.
Whether lack of a recognition agreement barred the Union's petition
Lack of a recognition agreement did not impair the competency of the petition or the Union's locus standi
The Respondents contended the Union could not represent their employees absent a recognition agreement. Applying the Court of Appeal's distinction in Modern Soap Factory between a union's right to represent members and the right to collective bargaining anchored on a recognition agreement, the Court held that in the circumstances of this dispute the absence of such an agreement was not a legal handicap to the petition or to the Union's standing.
Legal principles established
#- Where the employer is under an obligation to issue a written contract of employment, an employee may prove the contractual relationship through secondary records kept in the ordinary course of business or by public regulatory bodies
- Employees paid by the month are on term employment by virtue of section 37 of the Employment Act
- Failure to issue an employee a written contract of service constitutes an unfair labour practice
- Directing employees on the payroll to stay away from work without affording them an opportunity to be heard amounts to unfair termination
- Lack of a recognition agreement does not by itself disable a union from litigating on behalf of its members
- Needlessly invoking the constitutional petition route instead of the statutory route may be met with denial of costs or conversion of the petition to a statement of claim
- No particular number of witnesses is required to prove any particular facts
Court orders
#- 1.Declared that the decision by the Respondents directing the 157 Grievants to keep off work was in breach of contract and constituted unfair termination of employment
- 2.Declared that the failure to issue the Grievants with written contracts of service amounted to an unfair labour practice
- 3.Each of the 157 Grievants awarded the equivalent of 1-month salary in lieu of notice
- 4.Each of the 157 Grievants awarded damages of Kshs 50,000/-
- 5.Respondents to compute and pay the awards within 60 days, failing which the awards to attract interest at Court rates from the date of filing of the Petition
- 6.Each party to bear own costs
- Jurisdiction invoked
- Article 162(2)(a) of the Constitution (employment and labour relations jurisdiction of the ELRC) read with the Employment and Labour Relations Court (Procedure) Rules, 2016
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Kenya County Government Workers Union v County Government of Machakos & another [2020] KEELRC 816 (KLR)", Case Analysis (2020). Petition (instituted 24 March 2017; number not stated in judgment). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2020/816/eng@2020-06-19
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.