Skip to content
AI-generated case briefs sourced from Kenya Law · Not legal advice
Caselaw
AI-generated case brief
Case Brief · caselaw.co.ke
ELRCDismissedCause No. 2324 of 2017· [2021] KEELRC 2219 (KLR)

Kenya Shipping, Clearing and Warehouses Workers Union v Sunripe (1976) Limited & Agunda 2 others [2021] KEELRC 2219 (KLR)

Employment and Labour Relations Court
29 January 2021
MOMaureen Onyango
1,281 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~5 min to read original · ~4 min brief

The bottom line

#

A Kenyan court stopped a union from forcing immediate payment of Kshs.6.4 million in terminal dues, ruling the claim premature because no decree had been drawn yet.

What this practically means

#

Executive summary

#
This ruling by the Employment and Labour Relations Court at Nairobi (Maureen Onyango, J) arises from a judgment of 17th August 2018 in which the court ordered Sunripe (1976) Limited to pay terminal dues to 103 employees, with the parties to agree on amounts, and a ruling of 26th July 2019 directing payment of one month's salary in lieu of notice, leave pay capped at three years, and one month's ex-gratia pay, with disagreements to be tabulated through the Labour Officer. After conciliation before Grace Mweresa, the parties agreed payments would be made in batches. The claimant union, by application dated 5th October 2020, sought adoption of a tabulation schedule and orders compelling immediate payment of the full Kshs.6,401,298.00, alleging the respondent had refused or neglected to implement the court's decision, having paid only about Kshs.1.3 million. The respondent's Human Resource Manager, Chris Kaluku, deposed that 48 former employees had agreed their tabulations, batch payments were made between June and September 2020, and payments were suspended due to a demand letter from the grievants' advocates, but the respondent was ready to resume, citing COVID-19-related operational and financial constraints. The court held the application premature: execution was sought before the decree was drawn and the decretal sum remained under discussion before the Labour Officer. The application was dismissed, the respondent directed to continue batch payments under the conciliator's supervision, with no orders for costs.

Key legal issues

#
01

Whether the applicant's application dated 5th October 2020 seeking adoption of the tabulated terminal benefits schedule and immediate payment of Kshs.6,401,298.00 was merited

Holding

The application was dismissed as premature and without merit; the respondent was directed to continue payments in batches as originally agreed under the supervision of the Labour Officer/Conciliator.

Reasoning

The court found the averment that the respondent refused or neglected to pay unsupported by evidence: payment in batches had commenced, with over Kshs.1.3 million already paid. The application sought execution before the decree was drawn, and the decretal sum remained under discussion before the Labour Officer. The respondent had explained the COVID-19-related reasons for suspending payments and expressed willingness to resume.

p. 2

Legal principles established

#
  • A party cannot execute a decree before it is drawn, particularly where the decretal amount remains unagreed and is under tabulation before the Labour Officer as directed by the court.

Court orders

#
  1. 1.The application dated 5th October 2020 is dismissed as premature and without merit
  2. 2.The Respondent to continue making payments in batches as originally agreed by the parties
  3. 3.Payments to continue under the supervision of Grace Mweresa, Labour Officer/Conciliator, who will submit a report to court once all the grievants have been paid
  4. 4.No orders for costs

Authorities

#

Legislation

  • Employment ActSection 40(1)(f)
  • Civil Procedure RulesOrder 21 Rule 1
  • Civil Procedure ActSection 1B
  • Constitution of KenyaArticle 159(2)(d)
  • Constitution of KenyaArticle 48
Jurisdiction invoked
Article 162(2) of the Constitution (Employment and Labour Relations Court jurisdiction) - not expressly cited in the ruling

Key timeline

#

Practical implications

#

Frequently asked questions

#

Cite this brief

#

Cite this brief

Caselaw, "Kenya Shipping, Clearing and Warehouses Workers Union v Sunripe (1976) Limited & Agunda 2 others [2021] KEELRC 2219 (KLR)", Case Analysis (2021). Cause No. 2324 of 2017. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2021/2219/eng@2021-01-29

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