Allan Mwangi Muturi v Kenya Airways Authority [2020] KEELRC 1681 (KLR)
The bottom line
#Kenya's Employment Court awarded a former Kenya Airports executive over Kshs. 13.7 million because his employer fired him without proving its reasons or giving him a hearing.
What this practically means
#Executive summary
#Key legal issues
#Whether there were valid reasons to terminate the Claimant
No valid reasons were proved; the Claimant was accused of defying board directives which were never produced in evidence, and he had been exonerated by the initial board committee
The Court examined the interdiction letter of 27th August 2013, the Claimant's written responses, and the minutes of the board committee of 4th December 2013 which found no plausible grounds for interdiction. The Respondent produced no written board resolutions or directives the Claimant allegedly disobeyed. Under Section 43(1) of the Employment Act the employer must prove the reasons for termination; having failed, the termination was unfair.
Whether due process was followed before the termination
Due process was not followed; the board meeting of 20th December 2013 terminated the Claimant without hearing him, reversing the earlier committee's recommendation for reinstatement
Section 41 of the Employment Act requires an employer to explain reasons and hear representations before terminating for misconduct. The first board committee heard the Claimant and recommended reinstatement. A later board meeting on 20th December 2013 introduced new allegations and resolved to terminate without affording him an opportunity to respond, breaching fair procedure under Section 45(2).
Whether the Claimant is entitled to the remedies sought
The Claimant was awarded maximum compensation of 12 months' salary, notice pay, service pay for 10 years, pension benefits, a certificate of service, costs and interest; reinstatement and general damages were not granted
The Court found the mistreatment justified maximum compensation. It awarded 12 months' salary under Section 49, notice pay, and one month's salary per year worked as decided by the board on 20/12/2013, plus pension benefits and a certificate of service. The prayer for 7 years' salary to retirement age was not granted, consistent with the principle that employment is not a lifetime commitment.
Legal principles established
#- The employer bears the burden of proving the reasons for termination; failure to do so renders the termination unfair under Section 45 of the Employment Act
- A board or employer body cannot introduce new allegations and terminate an employee without affording him a hearing after an initial disciplinary committee has exonerated him
- An employee facing termination on grounds of misconduct is entitled to be heard and to have representations considered under Section 41 of the Employment Act
Court orders
#- 1.12 months' salary as compensation for unfair and unlawful termination (12 x 548,541 = 6,582,492/=)
- 2.3 months' salary as notice pay (3 x 548,541 = 1,645,623/=)
- 3.Pension benefits from the pension scheme
- 4.Issuance of a certificate of service
- 5.Equivalent of one month's salary for each year worked (10 x 548,541 = 5,485,410/=), total award 13,713,525/= less statutory deductions
- 6.Respondent to pay costs of the suit plus interest at court rates from the date of judgment
- Jurisdiction invoked
- Employment and Labour Relations Court jurisdiction under the Industrial Court Act (Section 12(3) referenced) and the Employment Act 2007
Key timeline
#Practical implications
#Frequently asked questions
#Later judgments citing this (1)
#Judgments in the corpus that rely on this one. Where the Court said how it treated the authority, that is shown.
- Christopher Nguru Warutere v Kenya Airports Authority (KAA) [2021] KEELRC 1830 (KLR)[2021] KEELRC 1830 (KLR)22 Apr 2021
Cite this brief
#Cite this brief
Caselaw, "Allan Mwangi Muturi v Kenya Airways Authority [2020] KEELRC 1681 (KLR)", Case Analysis (2020). Cause No. 381 of 2015. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2020/1681/eng@2020-02-06
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.