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ELRCPartially AllowedNot stated in judgment· [2022] KEELRC 1327 (KLR)

Wafula v Century Feeds Limited (Cause 186 of 2018) [2022] KEELRC 1327 (KLR)

Employment and Labour Relations Court
13 July 2022
3,390 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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What this practically means

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Executive summary

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The Claimant, engaged as a turnboy by the Respondent from January 2016, was involved in a road traffic accident in November 2017 in the course of employment. He was paid while on sick leave until about March 2018, after which the Respondent treated him as having absconded, while the Claimant maintained he was pushed out for pursuing compensation for his injuries. The court first determined the nature of the employment relationship: although paid weekly in cash and treated as a casual, the Claimant had worked continuously for over two years, so under sections 2, 37(1), 37(4) and 35(1)(c) of the Employment Act he was deemed a month-to-month employee. The Respondent's failure to keep or produce employment records under sections 10 and 74 weighed against it. On termination, the court found RW1's desertion narrative an afterthought crafted to mislead the court, crediting the Claimant's account that he was terminated for pursuing compensation. No notice, hearing or terminal dues were given, breaching sections 35, 41, 43 and 45; the termination was declared unfair, unjustified and unlawful. On reliefs, the court awarded the maximum twelve months' compensation (Kshs.170,931.16 based on the uncontroverted gross monthly wage of Kshs.14,244.30), underpayments of Kshs.72,786.04, notice pay, annual leave pay, overtime pay, public holiday pay and service pay, totalling Kshs.421,609 with interest at court rates. Severance pay was denied as it applies on redundancy. The Respondent was ordered to issue a certificate of service within 30 days. Costs were awarded to the Claimant. Judgment dated 13 July 2022, delivered virtually at Nakuru.

Key legal issues

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01

Nature of the employment relationship

Holding

The Claimant was a month-to-month employee, not a casual employee, having worked continuously for two years.

Reasoning

Section 2 of the Employment Act recognises written and oral contracts, express or implied. Section 37(1) deems a casual employee who works continuously for the equivalent of not less than one month on work not completable within a month to be employed on monthly terms, attracting section 35(1)(c). Having worked continuously as a turnboy for two uninterrupted years, the Claimant was deemed a monthly employee. The employer's failure to keep written records could not be used against him.

p. 5
02

Whether the termination was unfair, unjustified and unlawful

Holding

The termination was unfair, unjustified and unlawful; the Claimant was terminated for pursuing compensation for injuries sustained in a road traffic accident.

Reasoning

RW1's account that the Claimant deserted duty was found to be an afterthought; no evidence was tendered of efforts to trace the Claimant, no records of calls, no letters recalling him, and no warning that absence would attract termination. The Claimant's evidence that he was terminated for pursuing compensation was more credible. No notice, hearing, or terminal dues were given, contrary to sections 35, 41, 43 and 45 of the Act.

p. 5
03

Compensation and monetary reliefs

Holding

Maximum twelve months' compensation was awarded; underpayments, notice pay, overtime, public holiday, annual leave and service pay were allowed; severance pay was denied.

Reasoning

Under section 49(4) as read with section 50, the Claimant did not contribute to his termination, was young and would likely have continued working. Though the work was unskilled, the court found this an appropriate case for the maximum award. The pleaded wage legal notices were uncontroverted, so the gross monthly salary of Kshs.14,244.30 was adopted. Overtime, holiday and leave claims succeeded because the employer failed to produce records to disprove them, invoking section 107 of the Evidence Act.

p. 6

Legal principles established

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  • A casual employee who works continuously for a period exceeding one month on work not completable within that period is by operation of section 37(1) of the Employment Act deemed a monthly employee.
  • Failure by an employer to reduce the employment relationship into writing and to keep employment records cannot be visited upon the employee.
  • Where an employer is challenged to produce employment records and fails to do so, the presumption is that such records would have been against the employer's case.

Court orders

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  1. 1.A declaration that the termination of the claimant by the Respondent was unfair, unjustified and unlawful
  2. 2.Award of compensation for unfair, unjustified and unlawful termination of Kshs.170,931.16
  3. 3.Award of underpayments of Kshs.72,786.04
  4. 4.Award of notice pay of Kshs.14,244.30
  5. 5.Award of annual leave pay of Kshs.23,060.02
  6. 6.Award of overtime pay of Kshs.123,907.58
  7. 7.Award of public holidays pay of Kshs.26,543.82
  8. 8.Award of service pay of Kshs.16,435.73
  9. 9.Total award of Kshs.421,609/ to earn interest at court rates from the date of judgment till payment in full
  10. 10.The Respondent is ordered to issue and deliver a certificate of service to the Claimant within 30 days of the date of the judgment
  11. 11.Costs to the Claimant

Authorities

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Legislation

  • Employment ActSection 2
  • Employment ActSection 10
  • Employment ActSection 35(1)(c)
  • Employment ActSections 35, 41, 43 and 45
  • Employment ActSection 37(1)
  • Employment ActSection 37(4)
  • Employment ActSection 40
  • Employment ActSections 49(2), 49(4) and 50
  • Employment ActSection 51
  • Employment ActSection 74
  • Evidence Act (Cap 80)Section 107

Cases cited (3)

  • Caroline L. Musonye v Panari Hotel Ltd
    (2017) eKLR
  • Stanley Omwoyo Onchweri v Board of Management Nakuru YMCA Secondary School
    (2015)
  • Evans Ochieng Oluoch v Njimia Pharmaceuticals Limited
    (2016) eKLR
Jurisdiction invoked
Original employment and labour relations jurisdiction of the Employment and Labour Relations Court (Employment Act, 2007; dispute on terms and conditions of service of an employee)

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, "Wafula v Century Feeds Limited (Cause 186 of 2018) [2022] KEELRC 1327 (KLR)", Case Analysis (2022). Not stated in judgment. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2022/1327/eng@2022-07-13

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