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ELRCPartially AllowedNot stated in the judgment (Employment and Labour Relations Court claim instituted 9th November 2017)· [2022] KEELRC 1448 (KLR)

Kuria v Board of Management, Kikuyu Day Secondary School (Cause 2226 of 2017) [2022] KEELRC 1448 (KLR)

Employment and Labour Relations Court of Kenya
29 June 2022
1,664 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~7 min to read original · ~4 min brief

The bottom line

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A Kenyan employer can't let a contract expire mid-disciplinary process to avoid unfair termination liability.

What this practically means

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Executive summary

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The Claimant, employed by the Respondent from 26th May 2008 allegedly as a Librarian, sued for compensation for unlawful and unfair termination, three months' notice pay, leave pay, salary arrears (underpayment), house allowance arrears, a certificate of service, costs and interest, alleging her services were terminated on 13th September 2017 without notice, reasons or a fair hearing. The Respondent contended she was employed as a Cleaner on fixed-term contracts, suspended on 8th June 2017 for disciplinary investigations, and that the contract expired on 4th August 2017 while she was on suspension, so no termination occurred and the disciplinary committee could not sit for a non-employee. The court held that where an employer initiates a disciplinary process that runs to the end of an employee's contract, it is not lawful to assert there was fairness; the Respondent, aware the term was ending, created the condition precipitating the contract's end, which smacked of outright illegality and denied the Claimant substantive and procedural fairness. However, the Claimant failed to prove underpayment, which in any event is a continuing wrong claimable within one year under Section 90 of the Employment Act; the approved leave applications were prima facie proof leave was taken; and the claims for notice pay and house allowance arrears were not proved. Judgment was entered for the Claimant for compensation of six months' salary (Kshs. 74,100/-), costs of the suit, interest at court rates from the date of judgment, and a certificate of service. The claim otherwise failed.

Key legal issues

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01

Whether termination was unfair where the disciplinary process ran past the expiry of the contract

Holding

The termination was unlawful because the Respondent, aware the contract was ending, suspended the Claimant and allowed the contract to lapse while she was under suspension, denying her substantive and procedural fairness.

Reasoning

The Respondent suspended the Claimant on 8th June 2017 for disciplinary investigations; the contract expired on 4th August 2017 while she was suspended, and the disciplinary committee sat on 13th September 2017 when she was no longer an employee. The court held the employer created the condition precipitating the end of the contract, which smacked of outright illegality. An employee facing a disciplinary process is entitled to substantive and procedural fairness, none of which was accorded.

p. 3
02

Whether the Claimant proved underpayment and house allowance arrears

Holding

The Claimant failed to prove underpayment, and in any event such a claim must be brought within one year as a continuing wrong under Section 90 of the Employment Act.

Reasoning

Although the Claimant argued she ought to have been in Job Group J with higher pay under the Gazette Notice and Basic Education Regulations, the court found she did not prove underpayment. It further held that underpayment is a continuing wrong requiring a claim within one year under Section 90 of the Employment Act, precluding recovery of arrears for years gone by.

p. 3
03

Whether the Claimant was entitled to leave pay

Holding

The claim failed because the Respondent produced duly approved leave applications, which are prima facie proof of leave taken.

Reasoning

The Claimant testified she never went on leave and argued the forms were not conclusive proof. The court held that approved leave applications constitute prima facie proof of leave taken, as there is nothing more an employer can present to show an employee went on leave. The claim for leave pay was therefore unsubstantiated.

p. 3

Legal principles established

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  • Where an employer initiates a disciplinary process that runs to the end of an employee's contract, it is not lawful to then assert the contract lapsed by effluxion of time and claim no unfairness occurred.
  • An employer who suspends an employee knowing the contract is about to expire creates the condition that precipitates the end of the contract, which amounts to illegality and denies the employee substantive and procedural fairness.
  • Underpayment is a continuing wrong and a claim for it must be mounted within one year under Section 90 of the Employment Act.
  • Duly approved leave applications are prima facie proof that an employee took leave; there is nothing more an employer can present to show leave was taken.

Court orders

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  1. 1.Compensation for unlawful termination of contract - 6 month's salary - Kshs. 74,100/-
  2. 2.Costs of the suit
  3. 3.Interest on the sums in (i) above at court rates from the date of judgment till payment in full
  4. 4.Certificate of service

Authorities

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Legislation

  • Employment Act, 2007Section 45
  • Employment Act, 2007Section 35(1)(c)
  • Employment Act, 2007Section 47(5)
  • Employment Act, 2007Section 90
  • Kenya Gazette Notice No. 56 of 3rd September 1993 (Legal Notice No. 262 of 1993)Regulation 4
  • Basic Education Regulations 2015Regulations 18 and 20

Cases cited (6)

  • Walter Ogal Anuro v Teachers Service Commission
    [2013] eKLR
  • Kenfreight (E.A.) Limited v Benson K. Nguti
    [2016] eKLR
  • Kudheiha v B.O.G Ngaru Girls Secondary School
    [2014] eKLR
  • Donald C. Avude v Kenya Forest Service
    [2015] eKLR
  • Charles Muturi Mwangi v Invesco Assurance Co. Ltd.
    [2019] eKLR
  • Emily Migwa v Seventh Day Adventist Church Central Kenya Conference (CKC) & Another
    [2020] eKLR
Jurisdiction invoked
First-instance employment and labour relations claim under the Employment Act, 2007 (court's jurisdiction as ELRC not expressly invoked by provision in the judgment)

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, "Kuria v Board of Management, Kikuyu Day Secondary School (Cause 2226 of 2017) [2022] KEELRC 1448 (KLR)", Case Analysis (2022). Not stated in the judgment (Employment and Labour Relations Court claim instituted 9th November 2017). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2022/1448/eng@2022-06-29

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