Mudongoi v Mudete Factory Tea Growers Co-operative Savings and Credit Society Limited (Cause 27 of 2017) [2022] KEELRC 1576 (KLR)
The bottom line
#A Kenyan employer can win on reasons for dismissal but still pay a year's salary for running an unfair disciplinary process.
What this practically means
#Executive summary
#Key legal issues
#Whether there were valid reasons for termination of the Claimant's employment
The Respondent proved valid reasons for the termination on a balance of probability, the reasons being related to the Claimant's duties
The Respondent, bearing the burden under sections 43 and 47(5) of the Employment Act, produced the show cause letters and summary dismissal letter listing the reasons: carelessly and improperly performing duty, involving herself in personal financial dealings with clients, suspicion of committing a criminal offence, insubordination and loss of fidelity bond. The court found these reasons proved on a balance of probability and related to the Claimant's duties.
Whether there was discrimination and loss of pregnancy
The claim for discrimination and loss of pregnancy failed for want of particulars and evidence
The particulars of discrimination were not pleaded, no evidence was led on the allegation, and the Anarita Karimi precision test was not met. On loss of pregnancy, the document relied on (JMM8) was a caesarean section report showing a live infant and did not prove the allegation; the demand letter also made no such claim, so the court found no proof.
Whether the termination was procedurally fair
The disciplinary and termination process was unfair and violated Article 47, amounting to constructive dismissal
The Claimant was suspended indefinitely without salary for over a year with no communication on the disciplinary process; the process only commenced after her advocate's demand letter of 13th December 2016, and she had already been replaced before the dismissal letters issued. Such an administrative process was neither fair nor expeditious contrary to Article 47, and prolonged suspension beyond six months without pay is unfair.
Whether the Claimant is entitled to the reliefs sought
Compensation equivalent of 12 months' salary for violation of Article 47 and 10 days' unpaid salary awarded; notice pay, leave pay and cost of demand letter disallowed
Taking into account the period of service and the agony of waiting over a year on suspension without salary, the court found this a case deserving 12 months' salary as compensation for violation of constitutional rights under Article 47, since reinstatement was unavailable. Notice pay was refused as reasons for dismissal were justified; the leave claim was unproved; 10 days' salary for March 2016 was granted as the employer gave no evidence of payment.
Legal principles established
#- Under section 43 of the Employment Act, the employer bears the burden of proving the reasons for termination, failing which the termination is deemed unfair
- A person alleging discrimination must plead with precision the particulars of the infringement per the Anarita Karimi test
- The court will not interfere with an employer's internal disciplinary process where it is fair, but will meddle where the process is unfair and breaches the law or the employee's rights
- Suspension of an employee for more than six months, and a fortiori more than one year without salary, is unfair
Court orders
#- 1.Compensation pay for unfair treatment at Kshs. 334,113/-
- 2.Unpaid salary for 10 days worked in March 2016, Kshs. 27,842.75 x 10/31 = Kshs. 8,981.53/- (above awards subject to statutory deductions)
- 3.Interest at court rates effective date of judgment
- 4.Costs of the claim
- Jurisdiction invoked
- Articles 27, 41, 47 and 50 of the Constitution of Kenya, 2010 and the Employment Act, 2007 (employment and labour relations dispute)
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Mudongoi v Mudete Factory Tea Growers Co-operative Savings and Credit Society Limited (Cause 27 of 2017) [2022] KEELRC 1576 (KLR)", Case Analysis (2022). ELRC Cause (Bungoma), Claim filed 13th July 2017. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2022/1576/eng@2022-07-28
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.