Skip to content
AI-generated case briefs sourced from Kenya Law · Not legal advice
AI-generated case brief
Case Brief · caselaw.co.ke
ELRCDismissedNot stated in the judgment (Memorandum of Claim dated June 9, 2015)· [2022] KEELRC 1195 (KLR)

Sewe v Housing Finance Corporation Limited (Cause 1011 of 2015) [2022] KEELRC 1195 (KLR)

Employment and Labour Relations Court
27 June 2022
2,325 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~9 min to read original · ~4 min brief

The bottom line

#

A Kenyan court upheld a bank manager's dismissal because he was given fair notice and a chance to respond but chose not to attend his disciplinary hearing.

What this practically means

#

Executive summary

#
The claimant, employed from May 16, 2014 as Branch Manager of the respondent's Kisumu branch, sued for unlawful and unfair termination following his summary dismissal on May 27, 2015. He alleged that after a customer complaint he was suspended, given a show cause letter on May 26, 2015 with a response deadline of 3.30pm the same day, denied supporting documents, and subjected to disciplinary proceedings in his absence without hearing notice. He sought a declaration of unlawful termination, twelve months' compensation, three months' notice pay, damages for unfair disciplinary action, a certificate of service, costs and interest. The respondent maintained the dismissal was lawful, asserting the claimant refused to respond to the show cause letter, absconded duty and failed to attend his disciplinary hearing, which proceeded in his absence and resulted in a recommendation of summary dismissal. The court found the claimant had been accused by a customer, Pamela Odwessa, of using her bank statements to secure a loan without authority, with her complaint corroborated by another witness. The court held the claimant was allowed extra time to respond, was neither ambushed nor surprised, and that the requirements of section 41 of the Employment Act on substantive and procedural fairness were met. The court concluded the claimant was dismissed for cause, found the suit lacking in merit, dismissed it, and awarded costs to the respondent.

Key legal issues

#
01

Procedural fairness under section 41 of the Employment Act

Holding

The respondent complied with section 41; the claimant was informed of the complaints, allowed extra time to respond, and his failure to reply or attend the hearing did not vitiate the process.

Reasoning

The court found the claimant was accused by customer Pamela Odwessa of using her bank statements to secure a loan without authority, with corroboration from Jackline Ouma. The complaint was stamped as received on May 8, 2015. The claimant was given the show cause letter of May 26, 2015, sought and was allowed extra time to respond, yet neither replied nor attended the disciplinary hearing scheduled for May 27, 2015, which proceeded in his absence. He was therefore neither ambushed nor surprised.

p. 4
02

Validity of the reason for dismissal

Holding

The claimant was dismissed for cause arising from a customer complaint of misuse of her bank statements, so the dismissal was substantively fair.

Reasoning

The court recorded the customer's complaint that the claimant proposed she obtain a loan and share proceeds with him, and that he used her bank statements to secure a loan facility elsewhere without authority. The complaint was corroborated by another witness present at the disciplinary hearing. On this basis the court held the claimant was dismissed for cause and cannot recover from the respondent.

p. 4

Legal principles established

#
  • Where an employee is given adequate notice of complaints and ample time to respond, the requirements of substantive and procedural fairness under section 41 of the Employment Act are satisfied, and a disciplinary hearing may properly proceed in the employee's absence if he fails to attend.

Court orders

#
  1. 1.The claimant's suit is dismissed
  2. 2.Costs of the suit awarded to the respondent

Authorities

#

Legislation

  • Employment Actsection 45(2)
  • Employment Actsection 43
  • Employment Actsection 41
  • Employment Actsection 49
  • Employment Actsection 36
  • Constitution of Kenyafair labour practices (Article 41 as referenced in submissions)

Cases cited (7)

  • Kenya Union of Commercial Food and Allied Workers v Meru North Farmers SACCO Limited
    [2014] eKLR
  • Peter Kamau Mwaura & another v National Bank of Kenya
    [2020] eKLR
  • Pius Machafu Isindu v Lavington Security Guards Limited
    [2017] eKLR
  • Joshua Rodney Marimba v Kenya Revenue Authority
    [2019] eKLR
  • Kenfreight (E.A.) Limited v Benson K. Nguti
    [2019] eKLR
  • Maureen Atieno Puma v Njuca Consolidated Company Limited
    [2018] eKLR
  • Moi Teaching and Referral Hospital v James Kipkonga Kendagor
    [2019] eKLR
Jurisdiction invoked
Employment and Labour Relations Court jurisdiction under the Employment Act (first-instance employment claim)

Key timeline

#

Practical implications

#

Frequently asked questions

#

Cite this brief

#

Cite this brief

Caselaw, "Sewe v Housing Finance Corporation Limited (Cause 1011 of 2015) [2022] KEELRC 1195 (KLR)", Case Analysis (2022). Not stated in the judgment (Memorandum of Claim dated June 9, 2015). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2022/1195/eng@2022-06-27

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