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ELRCPartially AllowedCause No. 52 of 2015· [2020] KEELRC 1369 (KLR)

Chrispinus Wabwire v Spinknit Limited [2020] KEELRC 1369 (KLR)

Employment and Labour Relations Court of Kenya
20 February 2020
2,282 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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What this practically means

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Executive summary

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The claimant, a machine attendant/machine operator employed by the respondent from 1998, was suspended on 13th September 2014 after being found away from his duty station, allegedly spreading false information about Unitas, a financial institution seeking to address the respondent's employees. After a show-cause notice, his reply, suspension and disciplinary hearings on 10th and 14th October 2014, he was summarily dismissed by letter dated 25th October 2014. He sued for unfair termination, claiming notice pay, days worked, leave pay, travelling allowance, severance pay, compensation, a certificate of service and cots. The respondent defended the dismissal as grounded on valid reason and procedural fairness, citing the claimant's history of indiscipline. The court, applying section 43 of the Employment Act and the Evans Kamadi Misango authority, found no evidence supporting the reason in the dismissal letter: the disciplinary proceedings concerned absence from the duty station, while the dismissal letter alleged creating commotion by spreading false information, a variance unsupported by material evidence. The termination was therefore unfair under sections 45(2) and 49. Compensation was assessed at only one month's gross wage (Ksh.14,763) because of the claimant's poor disciplinary record, including a prior summary dismissal in 2013 later lifted after union intervention. Notice pay of Ksh.14,763 and unchallenged leave pay of Ksh.9,309 were awarded; severance pay and travelling allowance were refused. Judgment was entered for the claimant with a declaration of unfair termination, a certificate of service, and 50% costs.

Key legal issues

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01

Validity of the reason for summary dismissal

Holding

There was no evidence supporting the reason stated in the dismissal letter; there was a variance between the notice to show cause, suspension, disciplinary proceedings and the ultimate notice of summary dismissal

Reasoning

The disciplinary proceedings centred on the claimant's absence from his duty station, yet the dismissal letter alleged creating commotion by spreading false information about Unitas. No material evidence supported that allegation, and the claimant had dared the respondent to call a witness. The variance meant the employer failed to prove a valid and fair reason under sections 43 and 45 of the Employment Act.

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02

Remedies for unfair termination

Holding

The claimant was entitled to notice pay and compensation under sections 45(2) and 49 of the Employment Act; compensation assessed at one month's gross wage due to his poor disciplinary record

Reasoning

Without a valid and fair reason the termination was unfair. In assessing compensation under section 45(5), the court considered the claimant's work record, including a prior summary dismissal in March 2013 for gross misconduct later lifted after union intervention, and awarded one month's gross wage as compensation plus notice pay at the last gross wage of Ksh.14,763.

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03

Leave pay and certificate of service

Holding

Leave pay of Ksh.9,309 awarded as unchallenged since the respondent filed no work records; certificate of service due under section 51

Reasoning

The respondent did not file any work records regarding leave, so the claim was unchallenged and succeeded. A certificate of service is a statutory entitlement under section 51 of the Employment Act, 2007 and was due to the claimant.

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Legal principles established

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  • The employer bears the burden under section 43 of the Employment Act to demonstrate a valid reason for termination
  • The court does not re-enact the internal disciplinary process but examines the legality and reasonableness of the employer's action

Court orders

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  1. 1.A declaration that employment terminated unfairly
  2. 2.Compensation of Ksh.14,763 (one month's gross wage)
  3. 3.Notice pay of Ksh.14,763
  4. 4.Leave pay of Ksh.9,309
  5. 5.Certificate of service to issue under section 51 of the Employment Act, 2007
  6. 6.Dues under (b), (c) and (d) subject to the provisions of section 49(2) of the Employment Act, 2007
  7. 7.Claimant awarded 50% of his costs
Jurisdiction invoked
Employment and Labour Relations Court jurisdiction under the Employment Act, 2007 (sections 40, 43, 45, 49, 51)

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, "Chrispinus Wabwire v Spinknit Limited [2020] KEELRC 1369 (KLR)", Case Analysis (2020). Cause No. 52 of 2015. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2020/1369/eng@2020-02-20

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