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ELRCPartially AllowedCause No 1435 of 2014· [2020] KEELRC 1786 (KLR)

Elizabeth Njoki Kamau v Kenya Medical Laboratory and Technologists Board [2020] KEELRC 1786 (KLR)

Employment and Labour Relations Court
24 January 2020
3,143 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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A Kenyan court ruled an intern who kept working becomes a full employee, so firing her without a hearing was unfair and worth over Kshs.410,000.

What this practically means

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Executive summary

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The claimant sued the respondent, a regulator of medical laboratory scientists established under Cap 253A, alleging unlawful termination of her employment on 11 July 2014. She sought reinstatement or re-engagement, and in the alternative a declaration of unlawful termination plus terminal dues totalling Kshs.903,333.33, including notice, leave, service pay and twelve months' compensation. The respondent denied employing her beyond an internship, asserting she declined staff positions in 2012, gave notice of departure, and was thereafter retained only on a piece rate basis; it maintained any dismissal was for misconduct. The case proceeded by adoption of documents, witness statements and written submissions. The court framed three issues: whether the claimant was employed, whether the termination was unfair, and entitlement to remedies. Holding that an intern is an indentured learner and hence an employee, and a piece rate worker is likewise an employee under Section 18(1) of the Employment Act, the court found no evidence of any break in service and concluded the claimant became a regular employee after the internship lapsed in November 2011. Having found her a regular employee, the court held the termination unfair because the respondent neither accorded her a disciplinary hearing under Section 41 nor gave a valid reason under Section 43. Reinstatement was refused, being available only within three years and upon exceptional circumstances. The court awarded notice pay of Kshs.115,821.30, 36 days' leave pay of Kshs.63,175.25, and six months' salary as compensation of Kshs.231,642.60, totalling Kshs.410,639.15, free of statutory deductions, with costs and interest from the date of judgment.

Key legal issues

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01

Whether the claimant was an employee of the respondent

Holding

Yes - the respondent did not deny employing her; her internship lapsed in November 2011 and she was thereafter a regular employee working continuously until 11 July 2014

Reasoning

The respondent admitted engaging the claimant as an intern and later as a piece rate worker. The Employment Act defines an employee to include an apprentice and indentured learner, and Section 18(1) contemplates piece-work within a contract of service. The letter of termination itself referred to internship. There was no letter extending the internship and no evidence of a break in service, so after the internship lapsed she was a regular employee.

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02

Whether the termination was unfair

Holding

Yes - the termination was procedurally and substantively unfair

Reasoning

Having found the claimant was a regular employee, she was entitled to the same treatment as other employees, including a disciplinary hearing before termination. Warning letters showed the respondent contemplated disciplinary action for misconduct but never accorded her a hearing as required by Section 41 of the Employment Act, nor did it give a valid reason under Section 43. The termination was therefore unfair.

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03

What remedies the claimant is entitled to

Holding

Notice pay, unutilised leave pay and 6 months' salary as compensation; reinstatement refused

Reasoning

Reinstatement is available only within 3 years of termination and on proof of exceptional circumstances, neither of which was satisfied. The court awarded pay up to termination, three months' notice pay per the respondent's HR Manual clause 8.4.1, 36 days' unutilised leave computed at salary/22 x 36, and six months' salary as compensation under Section 49(4), using the net salary of Kshs.38,607.10 from the bank statement.

p. 5

Legal principles established

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  • An intern is an indentured learner and therefore an employee; a piece rate worker is also an employee under Section 18(1) of the Employment Act
  • Where the internship lapses and the worker continues to work continuously for remuneration, the worker becomes a regular employee
  • Termination without a disciplinary hearing under Section 41 and without a valid reason under Section 43 of the Employment Act is unfair

Court orders

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  1. 1.Respondent to pay 3 months' notice pay of Kshs.115,821.30
  2. 2.Respondent to pay 36 days leave pay of Kshs.63,175.25
  3. 3.Respondent to pay 6 months' salary as compensation for unfair termination of Kshs.231,642.60
  4. 4.Total award of Kshs.410,639.15, which shall not be subject to statutory deductions
  5. 5.Respondent to pay claimant's costs of the suit
  6. 6.Decretal sum to attract interest at court rates from date of judgment

Authorities

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Legislation

  • Employment ActSection 41(2)
  • Employment ActSection 43
  • Employment ActSection 45
  • Employment ActSection 49
  • Employment ActSection 49(4)
  • Employment ActSection 51
  • Employment ActSection 44(3)
  • Employment ActSection 44(4)
  • Employment ActSection 2 (definition of employee; piece work)
  • Employment ActSection 9(1)
  • Employment ActSection 18(1)
  • Employment ActSection 35
  • Employment ActSection 40
  • ILO Convention 158
  • Cap 253A
  • Respondent's Human Resources Policies and Procedures ManualClause 8.4.1

Cases cited (5)

  • Anthony Mkala Chitavi v Malindi Water & Sewerage Company Ltd
    [2013] eKLR
  • David Gichana Omuya v Mombasa Maize Millers Limited
    [2014] eKLR
  • Mary Chemweno Kiptui v Kenya Pipeline Company Limited
    [2014] eKLR
  • Martin Juma Kundu -V- Kemu Salt Packers Production Limited
    (2016) eKLR
  • Daniel Kiplagat Kipkeibut -V- SMEP Deposit Taking Micro Finance Limited
    (2016) eKLR
Jurisdiction invoked
Original jurisdiction of the Employment and Labour Relations Court over employment and labour relations claims (claim under the Employment Act); specific provision not cited in judgment

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, "Elizabeth Njoki Kamau v Kenya Medical Laboratory and Technologists Board [2020] KEELRC 1786 (KLR)", Case Analysis (2020). Cause No 1435 of 2014. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2020/1786/eng@2020-01-24

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