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ELRCPartially AllowedNot stated in the judgment· [2020] KEELRC 1028 (KLR)

Moses Mugira Rimbera v Bosky Industries Limited [2020] KEELRC 1028 (KLR)

Employment and Labour Relations Court
22 May 2020
1,831 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~7 min to read original · ~4 min brief

The bottom line

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A Kenyan tailor won his unfair dismissal case after 7 years on piece rates, but lost money claims he couldn't prove with evidence.

What this practically means

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Executive summary

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In this first-instance employment claim filed on 27th July 2016, the Claimant, a tailor employed by the Respondent on a piece rate basis for 7 years, alleged wrongful dismissal on 4th February 2016 after refusing a Kshs.500 deduction for re-issue of his work card. He sought a declaration that the dismissal was unlawful and unjustified, an award of one month's notice, 24 days' annual leave of Kshs.134,240.48, payment under section 18 of the Employment Act, compensation for breach of section 41, and refund of NSSF deductions. The Respondent entered appearance, cross-examined the Claimant and his witness, and filed submissions but filed no response to the claim, leaving the averments uncontroverted. Relying on sections 10(7) and 47(5) of the Employment Act and the Court of Appeal decisions in Krystalline Salt and Mboo Wambua, the court found the Respondent had neither complied with section 41 nor proved a valid reason for termination, and held the dismissal unfair. The court held that a piece rate worker is entitled at least to the minimum wage, and that service exceeding one month converted the arrangement to a term contract attracting one month's notice or pay in lieu. However, the claims for underpayment, NSSF refund, house allowance and leave failed for lack of proof. The court awarded compensation of 3 months' salary at the statutory minimum wage for a tailor, Kshs.57,279.80, plus Kshs.10,000 for expenses and disbursements, with interest from the date of judgment.

Key legal issues

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01

Whether the claimant's dismissal was unfair

Holding

The dismissal was unfair; the Respondent, having filed no response, neither proved compliance with section 41 nor a valid reason for termination

Reasoning

The Respondent did not file a response, so the claimant's averments stood uncontroverted. Under section 47(5) of the Employment Act the employer bears the burden of justifying the grounds for dismissal. The court found the Respondent neither proved it complied with section 41 nor that the reason for termination (refusal to pay Kshs.500 for a work card re-issue) was valid.

p. 2
02

Entitlement of piece rate workers to statutory benefits

Holding

A piece rate worker is entitled at least to the minimum wage, and after one month's service the contract converts to a term contract attracting one month's notice or pay in lieu

Reasoning

Applying Krystalline Salt, the court held that although piece rate workers are not entitled to all benefits of other forms of employment, they are at least entitled to the minimum wage. Under section 37(1)(a), service exceeding one month converted the arrangement to a term contract, entitling the claimant to one month's notice or pay in lieu. Section 18(1)(a) justified payment at the end of the day.

p. 2
03

Burden of proving underpayment and other monetary claims

Holding

The claims for underpayment, NSSF refund, house allowance and leave failed for lack of proof

Reasoning

Section 10(7) of the Employment Act places the burden of proving a term of employment on the employee. The claimant's evidence on the amount paid was at variance with CW2's, so underpayment was not proved. The job card relied on for the NSSF, house allowance and leave deductions was blank, so those claims were dismissed.

p. 2

Legal principles established

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  • Where an employee alleges unfair termination, the evidential burden of justifying the grounds for dismissal rests on the employer under section 47(5) of the Employment Act
  • A piece rate employee is at least entitled to the minimum wage
  • An employee who has worked for longer than one month without a written term contract is deemed to be on a term contract and entitled to one month's notice or pay in lieu

Court orders

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  1. 1.A declaration that the claimant's employment was unfairly terminated
  2. 2.Compensation equivalent to 3 months' salary based on the statutory minimum wage for a tailor, in the sum of Kshs.57,279.80
  3. 3.Kshs.10,000 to cover the claimant's reasonable expenses and disbursements for the case
  4. 4.Interest at court rates on the awarded sums from the date of judgment
  5. 5.The prayer for refund of NSSF, house allowance and leave is dismissed for lack of proof

Authorities

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Legislation

  • Employment Actsection 18
  • Employment Actsection 35
  • Employment Actsection 41
  • Employment Actsection 45
  • Employment Actsection 47(5)
  • Employment Actsection 10(7)
  • Employment Actsection 2 (definition of piece work)
  • Employment Actsection 18(1)(a)
  • Employment Actsection 37(1)(a)
  • Constitution of KenyaArticle 159(2)(d)
  • Constitution of KenyaArticle 48
  • Civil Procedure ActSection 1B
  • Civil Procedure RulesOrder 21 Rule 1
  • General Order for 2013minimum wage rates for a tailor

Cases cited (5)

  • Martin Wasonga Obel v Coast Building & General Contractors Ltd
    [2018] eKLR
  • Jowasi Ambundo Kasina & 5 Others v Kenafric Industries Limited
    [2015] eKLR
  • Bernard Mariita Nyangara v Packaging Industries Limited
    [2015] eKLR
  • Krystalline Salt Limited v Kwekwe Mwakele & 67 Others
    [2017] eKLR
  • Mboo Wambua & 29 others v Export Trading Company Limited
    [2018] eKLR
Jurisdiction invoked
Employment and Labour Relations Court jurisdiction to hear and determine employment disputes (the Claimant's prayer 1: 'The Claimant herein prays that the Court has jurisdiction to hear and determine this matter')

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, "Moses Mugira Rimbera v Bosky Industries Limited [2020] KEELRC 1028 (KLR)", Case Analysis (2020). Not stated in the judgment. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2020/1028/eng@2020-05-22

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