Skip to content
AI-generated case briefs sourced from Kenya Law · Not legal advice
AI-generated case brief
Case Brief · caselaw.co.ke
ELRCPartially AllowedCause No 1111 of 2016· [2020] KEELRC 1345 (KLR)

Angela Gwiyo Kuria v Schenker Limited [2020] KEELRC 1345 (KLR)

Employment and Labour Relations Court
13 March 2020
2,981 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~12 min to read original · ~4 min brief

The bottom line

#

A Kenyan court ruled that an employee who resigns by invoking her notice clause cannot later claim constructive dismissal, but won her unpaid commissions.

What this practically means

#

Executive summary

#
The claimant, employed by the respondent as Head of Sales from 01.10.2013 on a gross monthly salary of Kshs.360,000.00 plus commissions and discretionary bonus, resigned by letter dated 01.03.2016 invoking the contractual one-month notice clause. She sued claiming that she had been constructively and unfairly terminated, that she was underpaid relative to junior male employees in breach of her right to equality and freedom from discrimination, that commissions and bonuses were withheld, that her right of access to information was violated, and sought compensation of twelve months' gross salary, general damages under Article 23, a certificate of service, costs and interest. The Court held that the contract was terminated by the claimant's express, voluntary resignation under the contractual notice clause; constructive dismissal was not established because the grounds now pleaded were never given as reasons for resigning and any breach had been condoned since 2014. The Court followed Ndolo J in Benuel v Awand Enterprises and the ingredients of constructive dismissal listed by Onyango J in Milton M. Isanya v Aga Khan Hospital Kisumu. On commissions, the claimant failed to plead and prove the contractual quarterly conditions, and only Kshs.393,799.00, admitted by the respondent as unpaid, was awarded. The claim of sex-based discrimination failed for lack of evidence; the Article 35 violation was declared but attracted no damages. The bonus claim was deemed abandoned. Judgment was entered for the claimant on 13 March 2020 for the admitted commissions with interest, a declaration of the Article 35 violation, delivery of a certificate of service within 30 days, and costs of the suit.

Key legal issues

#
01

Whether the claimant's resignation amounted to constructive and unfair termination

Holding

No; the claimant voluntarily invoked the contractual notice clause and constructive dismissal was not established

Reasoning

The resignation letter was express that the contractual notice clause was invoked. The grounds now pleaded as constituting constructive dismissal were never stated as grounds for resignation. Any breach (failure to pay commissions, adverse work environment) had been condoned since 2014, so it could not be the reason for resignation. An employee who expressly exercises one available option is bound by it.

p. 3
02

Entitlement to commissions under the remuneration clause

Holding

Only Kshs.393,799.00 awarded, being the amount the respondent acknowledged as due and unpaid; the larger claim failed for want of proof

Reasoning

The claimant bore the burden of showing she met the monthly gross profit target from new business. She did not plead particulars of the monthly gross profit or the new business, nor the quarterly demands required by the contract. The respondent admitted Kshs.393,799.00 was unpaid, and RW1 confirmed there was no evidence of payment.

p. 3
03

Whether the claimant's right to equality and freedom from discrimination (Article 27(5)) was violated on grounds of sex

Holding

No; no evidence that the higher pay of two male juniors was actuated by considerations of sex

Reasoning

The claimant negotiated her own contract; the two men were employed later and interviewed with more favourable terms whose scope and negotiations were not before the Court. There was no evidence of the respondent's remuneration policy or that pay differences were gender-based. An assumption that the Head of Sales must be the highest paid would be irrational.

p. 4
04

Whether the respondent violated the claimant's right of access to information under Article 35

Holding

Yes; the information requested by the advocates' letter dated 17.05.2016 was not provided

Reasoning

The evidence showed the requested payslips, required for the exercise or protection of the claimant's rights, were not supplied. However, because the discrimination case the information was meant to support failed, no damages were awarded for this breach.

p. 3
05

Whether the claimant was subjected to unfair labour practices

Holding

Yes, in respect of non-payment of commissions while others were paid, but the injury was sufficiently cured by the award of the withheld commissions

Reasoning

The evidence established the claimant was entitled to commissions that were not paid whereas other employees entitled to commissions were paid. The Court held this amounted to an unfair labour practice, but found the award of the withheld commissions sufficient remedy, so no separate relief was granted.

p. 4

Legal principles established

#
  • Where an employee has two or more options to terminate employment and expressly exercises one, the employee is bound by the option voluntarily exercised and the Court will not recharacterise the separation on the basis of unexercised options
  • A delay in resigning after an employer's breach may amount to waiver of that breach as a ground for constructive dismissal
  • Ingredients of constructive dismissal: employer's fundamental/repudiatory breach, resignation in response to it, and no delay in resigning

Court orders

#
  1. 1.The respondent to pay the claimant Kshs.393,799.00 by 01.05.2020, failing which interest at court rates from the date of judgment till full payment
  2. 2.Declaration that the respondent violated the claimant's right to information under Article 35 of the Constitution
  3. 3.The respondent to deliver the claimant's certificate of service within 30 days from the date of the judgment
  4. 4.The respondent to pay the claimant's costs of the suit

Authorities

#

Legislation

  • Employment Actsection 49
  • Constitution of Kenya, 2010Article 35
  • Constitution of Kenya, 2010Article 27(5)
  • Constitution of Kenya, 2010Article 23

Cases cited (2)

  • Benuel –Versus- Awand Enterprises Limited
    Cause No.191 of 2013 at Mombasa
  • Milton M. Isanya –Versus- Aga Khan Hospital Kisumu
    [2017]eKLR
Jurisdiction invoked
Employment and Labour Relations Court jurisdiction over employment and labour relations disputes (employment relationship between the parties); Article 35 and Article 27(5) of the Constitution invoked

Key timeline

#

Practical implications

#

Frequently asked questions

#

Later judgments citing this (3)

#

Judgments in the corpus that rely on this one. Where the Court said how it treated the authority, that is shown.

Cite this brief

#

Cite this brief

Caselaw, "Angela Gwiyo Kuria v Schenker Limited [2020] KEELRC 1345 (KLR)", Case Analysis (2020). Cause No 1111 of 2016. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2020/1345/eng@2020-03-13

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