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ELRCPartially AllowedCause No 897 of 2017· [2022] KEELRC 1644 (KLR)

Otachi v Board of Trustees, Nairobi Pentecostal Church Woodley Campus & 2 others (Cause 897 of 2017) [2022] KEELRC 1644 (KLR)

Employment and Labour Relations Court
27 May 2022
2,704 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~11 min to read original · ~4 min brief

The bottom line

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A Kenyan court ruled that a church worker called a 'volunteer' was actually an employee, and his dismissal without valid reason was unfair.

What this practically means

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Executive summary

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The Claimant sued the Respondents, church ministries operating a school and catering unit, alleging he was employed as a Messenger from January 2002 at Kshs. 3,000, later Kshs. 6,000, without registration with N.S.S.F or N.H.I.F, without annual leave, and that his contract was terminated on 30th January 2015 without notice or cause. He sought notice pay, service pay, annual leave, house allowance, compensation for unfair termination and underpayment claims. The Respondents denied employing him, contending he was a Volunteer paid stipends by parents from a kitty administered by the School to help children cross the road, and that he was asked to leave as a potential security threat. The Court framed three issues: employment status, fairness of termination, and remedies. Relying on a 2008 letter authorizing him to drive, recommendation letters from 2012 and 2014, and the Administrator's 2015 letter confirming he had served from 2002, the Court found he was an Employee under the control of the Respondents. The Court held that uniforms, mode of recruitment or source of pay do not determine employment status. The Respondents failed to discharge their burden under Sections 43 and 45 of the Employment Act to prove valid reasons for termination, making the dismissal unfair. He was awarded service pay of Kshs. 39,000 for 13 years, notice pay of Kshs. 6,000, and 12 months' compensation of Kshs. 72,000. Claims for underpayment, annual leave and house allowance were declined for want of proof, concession or consensus on salary. Costs and interest at court rates were granted to the Claimant.

Key legal issues

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01

Whether the Claimant was an Employee or a Volunteer

Holding

He was an Employee; the series of letters issued by the Respondents' officers confirmed an employment relationship dating from 2002

Reasoning

The 2008 letter authorizing driving implied a pre-existing employment relationship; recommendation letters described multiple roles; the Administrator's 2015 letter confirmed employment from 2002. Control, instructions, use of tools of trade and work at the Respondents' premises established employment under common law and employment statutes, regardless of payment source or lack of formal recruitment.

p. 4
02

Whether termination was fair

Holding

Termination was unfair; the Respondents failed to prove valid reasons and inconsistently claimed he was a volunteer while admitting they asked him to leave

Reasoning

Under Sections 43 and 45 of the Employment Act the employer bears the burden of justifying termination. The Respondents pleaded they never employed the Claimant yet alleged he was asked to leave over security fears. No valid reason was proved; the Claimant played no part in the decision and had served 13 years with commendations.

p. 5
03

Which remedies were merited

Holding

Service pay for 13 years, notice pay and 12 months' compensation awarded; underpayment, annual leave and house allowance claims failed for want of proof or by concession

Reasoning

Service pay was due as the Respondents did not show N.S.S.F registration. Notice pay was allowed. Underpayment required specific Wage Amendment Orders which were not cited. Leave coincided with school vacations and house allowance was declined since the salary was freely accepted as a Church member.

p. 5

Legal principles established

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  • The employer-employee relationship is not determined by the manner of remuneration, uniforms or recruitment formalities, but by control, instructions, tools of trade and benefit to the employer's business
  • It is the Employer's burden under Sections 43 and 45 of the Employment Act to prove valid reasons justifying termination

Court orders

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  1. 1.It is declared that termination was unfair
  2. 2.The Respondent shall pay to the Claimant service pay at Kshs. 39,000; notice at Kshs. 6,000; and compensation for unfair termination at Kshs. 72,000 – total Kshs. 117,000
  3. 3.Costs to the Claimant
  4. 4.Interest allowed at court rates from the date of Judgment till payment is made in full

Authorities

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Legislation

  • Employment ActSections 43 and 45
Jurisdiction invoked
Employment and labour relations jurisdiction under Article 162(2) of the Constitution (implied; the judgment does not expressly cite the provision)

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, "Otachi v Board of Trustees, Nairobi Pentecostal Church Woodley Campus & 2 others (Cause 897 of 2017) [2022] KEELRC 1644 (KLR)", Case Analysis (2022). Cause No 897 of 2017. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2022/1644/eng@2022-05-27

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