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ELRCDismissedPetition dated 19th February 2020 (ELRC Petition, Nairobi)· [2021] KEELRC 1102 (KLR)

Kenya National Private Security Workers Union v G4s Kenya Limited & 2 others; Central Organisation of Trade Unions Cotu (K) & 4 others (Interested Parties) [2021] KEELRC 1102 (KLR)

Employment and Labour Relations Court
13 August 2021
4,234 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~17 min to read original · ~4 min brief

The bottom line

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What this practically means

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Executive summary

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The Petitioner, a trade union with a recognition agreement with the 1st Respondent, petitioned the Employment and Labour Relations Court seeking interpretation of the correct overtime formula, an injunction, declarations of violation of fair labour practices, payment of overtime arrears from September 2018, and general damages. It complained that upon implementation of their 2018 CBA, the employer shifted overtime computation from a daily to a weekly basis (hours above 52 per week), reducing members' earnings, and sued the Labour Commissioner and an industry association as Respondents, with COTU, the industry regulator, the Attorney General and another association as Interested Parties. The 1st Respondent explained that financial hardship and a gazetted minimum wage increase in 2017 necessitated restructuring its wage bill; the change was agreed with stakeholders and employees before the CBA, whose clause 8.2 incorporated the formula in the Regulation of Wages (Protective Security Services) Order, 1998. The court framed three issues: construction of the CBA, whether overtime should be computed daily or weekly, and constitutional violation. It found no contradiction between the CBA and the Order, both pegging overtime to hours beyond 52 per week. It held that the registered CBA was a binding contract vitiatable only on mistake, fraud, misrepresentation, undue influence or duress, none pleaded, and that illegality was raised for the first time in submissions. The dispute being purely contractual, no constitutional violation was established. The Petition was dismissed with no orders as to costs, though the court clarified the conversion formula for overtime hours.

Key legal issues

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01

Proper construction of CBA clause 8.2 on overtime

Holding

The CBA and the Regulation of Wages (Protective Security Services) Order, 1998 are not contradictory; both calculate overtime on hours in excess of 52 per week

Reasoning

The court compared clause 8 of the CBA with paragraphs 6, 7 and 8 of the 1998 Order and Section 27 of the Employment Act, concluding there is no conflict: normal working hours are 52 spread over six days, and any hours beyond that attract overtime. The claim that words 'above' and 'weekly' were illegally inserted to deny workers overtime failed because the CBA was mutually negotiated, signed and registered, and the change predated the CBA.

p. 6
02

Illegality of clause 8 of the CBA raised in submissions

Holding

A party cannot raise vitiating factors or illegality for the first time in submissions where none is pleaded

Reasoning

The Petitioner alleged illegality only in submissions. The court held that a registered CBA is a binding contract vitiatable only on mistake, fraud, misrepresentation, undue influence or duress, none of which was pleaded, relying on Josephat Kihia Muthoka v Kalu Works Limited. Courts cannot rewrite contracts freely entered into by parties.

p. 6
03

Constitutional violation of grievants' rights

Holding

No constitutional violation established; the dispute is purely contractual

Reasoning

The court found that enforcing a private contractual entitlement cannot constitute a breach of Articles 27, 29, 41 or 47. The petition also failed the precision standard for constitutional petitions as contended by the 1st Respondent. The change in overtime computation was agreed upon with stakeholders and employees following the employer's financial restructuring before the CBA.

p. 7

Legal principles established

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  • A registered CBA is a binding contract that can only be vitiated on the known grounds of vitiation of contracts, none of which were pleaded
  • The CBA and the Protective Security Services Order are consistent, both providing overtime for work beyond 52 hours per week

Court orders

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  1. 1.The Petition is dismissed
  2. 2.No orders as to costs
Jurisdiction invoked
Article 23 of the Constitution; Employment and Labour Relations Court Rules

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, "Kenya National Private Security Workers Union v G4s Kenya Limited & 2 others; Central Organisation of Trade Unions Cotu (K) & 4 others (Interested Parties) [2021] KEELRC 1102 (KLR)", Case Analysis (2021). Petition dated 19th February 2020 (ELRC Petition, Nairobi). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2021/1102/eng@2021-08-13

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