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ELRCPartially AllowedCause (number not stated in judgment)· [2020] KEELRC 1799 (KLR)

Josephat Makhoha v Kleen Homes Security Services Ltd [2020] KEELRC 1799 (KLR)

Employment and Labour Relations Court
31 January 2020
869 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 a security guard's dismissal unfair because the employer decided to fire him before giving him a hearing.

What this practically means

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Executive summary

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The Claimant, a security guard engaged by the Respondent in 2004 who had risen to Supervisor, was summarily dismissed by letter dated 27 March 2013 after the Medical Superintendent of Provincial General Hospital Kakamega reported losses of foodstuffs allegedly stolen through collusion between the Respondent's guards and kitchen staff, and demanded Kshs 500,000/- compensation. The Claimant was only summoned to the head office and informed of his dismissal on 6 April 2013. He appealed internally, and the Respondent's General Manager approved a recommendation to reinstate him, but he was never reinstated. He sued on 17 April 2015 alleging unfair termination. The Respondent acknowledged service of the hearing notice but did not attend the hearing on 11 November 2019 and filed no witness statements. The Court found the dismissal procedurally unfair because the decision was taken before the Claimant was heard, contrary to section 41(2) of the Employment Act, 2007, and substantively unfair because the Respondent did not discharge the burden under sections 43 and 45; the unimplemented reinstatement decision suggested the Claimant was blameless, and the theft acknowledged in the dismissal letter predated his five-month posting at the hospital. The Court awarded compensation equivalent to nine months' salary (Kshs 135,000/-), one month's pay in lieu of notice (Kshs 15,000/-) under section 35(1), and a uniform refund of Kshs 2,000/-, totalling Kshs 152,000/-. It declined the claim of Kshs 120,000/- for eight years of untaken leave because leave records showed the Claimant took leave in 2012 and there was no evidence of denial, section 28(4) limiting carry-forward. The Respondent was ordered to issue a Certificate of Service within 21 days, and the Claimant received costs on a half-scale.

Key legal issues

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Procedural fairness of the summary dismissal

Holding

The dismissal was procedurally unfair because the decision had been taken before the Claimant was heard

Reasoning

The dismissal letter was dated 27 March 2013 while the Claimant was only summoned to the head office and informed of the dismissal on 6 April 2013. Section 41(2) of the Employment Act requires an employee be afforded an opportunity to be heard before dismissal. Since the decision preceded any hearing, the procedural requirement was breached. The Respondent, absent at the hearing, did not rebut this.

p. 1
02

Substantive fairness of the dismissal

Holding

The dismissal was substantively unfair; the employer failed to justify it

Reasoning

The Respondent did not attend court to discharge the burden under sections 43 and 45 of the Employment Act and filed no witness statements, indicating it had no witnesses. Further, the General Manager had approved the Claimant's reinstatement after his appeal, suggesting the Respondent found him blameless, and never explained why reinstatement was not implemented. The letter also acknowledged the theft predated the Claimant's five-month posting at the hospital.

p. 2
03

Entitlement to pay in lieu of notice

Holding

The Claimant was entitled to one month's salary in lieu of notice

Reasoning

The Respondent did not give the requisite notice under section 35(1) of the Employment Act, 2007. The Claimant's salary was Kshs 15,000/- per month, and the Court awarded the equivalent of one month's salary.

p. 2
04

Accrued leave claim

Holding

Claim for untaken leave for 8 years declined

Reasoning

Annual leave of 21 days on full pay is a statutory entitlement, but a leave application form showed the Claimant went on leave in 2012. Section 28(4) limits carry-forward of leave days, and there was no evidence the Claimant applied for and was denied leave. The claim of Kshs 120,000/- was therefore refused.

p. 2

Legal principles established

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  • A decision to dismiss taken before the employee is afforded a hearing violates section 41(2) of the Employment Act, rendering the dismissal procedurally unfair
  • An employer who fails to attend court or file witness statements does not discharge the burden under sections 43 and 45 of the Employment Act to justify a dismissal

Court orders

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  1. 1.Declaration that the summary dismissal of the Claimant was unfair
  2. 2.Award of Kshs 135,000/- being compensation equivalent to 9 months' salary
  3. 3.Award of Kshs 15,000/- being one month's pay in lieu of notice
  4. 4.Award of Kshs 2,000/- uniform refund (total award Kshs 152,000/-)
  5. 5.Respondent to issue a Certificate of Service within 21 days
  6. 6.Claimant to have costs on a half-scale

Authorities

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Legislation

  • Employment Act, 2007section 41(2)
  • Employment Act, 2007section 43
  • Employment Act, 2007section 45
  • Employment Act, 2007section 35(1)
  • Employment Act, 2007section 28(4)
Jurisdiction invoked
Employment and Labour Relations Court jurisdiction over the employment cause (Employment Act, 2007 and the court's statutorily conferred jurisdiction; no specific article cited)

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, "Josephat Makhoha v Kleen Homes Security Services Ltd [2020] KEELRC 1799 (KLR)", Case Analysis (2020). Cause (number not stated in judgment). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2020/1799/eng@2020-01-31

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