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ELRCPartially AllowedNot stated in the judgment· [2022] KEELRC 1405 (KLR)

Kamau v Kuku Food Kenya Limited (Cause 5 of 2020) [2022] KEELRC 1405 (KLR)

Employment and Labour Relations Court
30 June 2022
2,896 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~12 min to read original · ~4 min brief

The bottom line

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A Kenyan employer paid over Kshs 900,000 after firing a manager for a minor offence that its own staff handbook said didn't warrant dismissal.

What this practically means

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Executive summary

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The Claimant, employed by the Respondent from December 2011 and promoted to General Manager of the Nakuru Branch on a salary of Kshs. 101,236.44, was terminated on 30th September 2019 after field trainers discovered an uncut chicken she had stored in the Respondent's deep freezer on 17th September 2019. She was served a notice to show cause on 18th September 2019, a charge sheet on 26th September, and appeared before a disciplinary hearing on 27th September. Her appeal to the Regional Human Resource Manager was dismissed. She claimed the termination was procedurally unfair (insufficient notice contrary to the HR Handbook, inadequate particulars, and a charge - deliberate abuse of company property - that did not match the alleged misconduct) and discriminatory, citing a similar 2018 incident at the Hurligham Branch where no action was taken. She sought a declaration, one month's salary in lieu of notice, 12 months' compensation under section 49(1)(c) of the Employment Act, general damages for discrimination, costs, interest, and a certificate of service. The Respondent maintained the Claimant admitted storing the chicken contrary to company rules, was afforded due process, and was paid her terminal dues. The court held that the facts did not tally with the charge, and that under the Respondent's own handbook the conduct fell under category 2 misconduct not warranting dismissal. The claim was allowed in part: the court awarded one month's salary in lieu of notice, 8 months' salary as compensation for unfair termination (total Kshs. 911,128 less statutory deductions), a certificate of service, and costs plus interest at court rates from the date of judgment.

Key legal issues

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01

Whether the termination was substantively and procedurally unfair

Holding

Termination was unfair because the charge (deliberate/intentional abuse/damage of company property) did not match the facts (storing uncut chicken), and the misconduct fell under category 2 of the handbook which does not attract termination.

Reasoning

The court noted the show-cause and charge sheet alleged abuse of company property, but the admitted conduct was bringing foodstuffs from outside, a category 2 misconduct under clause 2.4.2 of the handbook not warranting dismissal. The mismatch between particulars and charge, and the employer's failure to apply its own handbook, rendered both the substance and process unfair.

p. 6
02

Whether the Claimant was given adequate notice of the disciplinary hearing

Holding

The court observed the Claimant did not point out the handbook section providing for 5 days' notice, but the unfairness was nonetheless found on the charge/particulars mismatch.

Reasoning

Although the Claimant complained that she was served a day before the hearing contrary to clause 2.6.1 of the handbook, the court noted she did not identify the specific section providing for 5 days' notice. The court's unfairness finding rested principally on the mismatch between the charge and the facts.

p. 6
03

Whether the Claimant was discriminated against compared to the Hurligham Branch manager

Holding

Not determined in the Claimant's favour; the court made no award for discrimination.

Reasoning

The Respondent's witness testified that the Hurligham manager had not committed a similar offence - the lettuce was bought from an unapproved vendor for customers' consumption, unlike the Claimant's chicken bought for personal use. The final orders made no finding or award on discrimination.

p. 5

Legal principles established

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  • Where the facts of an employee's misconduct do not tally with the offence charged, and the employer's own handbook classifies the misconduct as one not warranting dismissal, the termination is unfair.

Court orders

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  1. 1.Payment of 1 month salary in lieu of notice of Kshs. 101,236.44
  2. 2.Payment of 8 months' salary as compensation for unfair termination (8 x 101,236.44 = Kshs. 809,891.52), total Kshs. 911,128 less statutory deductions
  3. 3.Respondent to issue Claimant with a certificate of service
  4. 4.Respondent to pay costs of the suit plus interest at court rates from the date of judgment

Authorities

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Legislation

  • Employment Actsection 45
  • Employment Actsection 41
  • Employment Actsection 49(1)(c)
  • Employment Actsection 51
  • Employment Actsection 5(7)(c)

Cases cited (5)

  • Emmanuel Mmabo Oduory v One Acre Fund
    [2020] eKLR
  • Mary Chemweno Kiptui v Kenya Pipeline Company Limited
    [2014] eKLR
  • Walter Ogal Anuro v Teachers Service Commission
    [2013] eKLR
  • Mathias Omondi Nzuya v Reli Co-operative Savings & Credit Society
    [2022] eKLR
  • Anthony Mkala Chitavi v Malindi Water and Sewerage Co. Limited
Jurisdiction invoked
Employment Act, 2007 (Sections 41, 45, 49, 51); first-instance ELRC claim

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, "Kamau v Kuku Food Kenya Limited (Cause 5 of 2020) [2022] KEELRC 1405 (KLR)", Case Analysis (2022). Not stated in the judgment. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2022/1405/eng@2022-06-30

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