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ELRCPartially AllowedNot stated in the judgment (memorandum of claim dated April 5, 2018)· [2023] KEELRC 531 (KLR)

Wambua v Newlight Schools Limited (Cause 475 of 2018) [2023] KEELRC 531 (KLR)

Employment and Labour Relations Court of Kenya
28 February 2023
3,316 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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A Kenyan school wrongly dismissed its chef for alleged theft because he was never given a hearing, and must pay him nearly Kshs 167,000.

What this practically means

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Executive summary

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The claimant, employed as a chef at the respondent's Newlight senior girls' school in Kitengela from February 8, 2010, claimed unlawful and unfair termination of employment on April 8, 2015, when the Director allegedly verbally dismissed him and gave him 30 minutes to vacate staff quarters, without notice, hearing or payment of dues. He sought unpaid wages, pro-rated leave, notice pay, overtime for over five years, service pay and 12 months' compensation. The respondent asserted he was a cleaner, not a chef, who repeatedly stole food items (rice, sausages, chicken) and was summarily dismissed for gross misconduct after warnings, and that the claim was time-barred under section 90 of the Employment Act. The court found the limitation defence unpleaded and thus unavailable to the respondent. Although theft is a ground for summary dismissal, it was uncontroverted that the claimant was never accorded a hearing as required by section 41 of the Employment Act; the termination was therefore ipso facto unfair and unlawful. On service pay, since the employer failed to rebut with sufficient evidence the claimant's assertion that no NSSF contributions were made, an adverse inference was drawn and the respondent was held liable for service pay. The overtime claim failed for want of proof. Judgment was entered for the claimant for 5 days' unpaid wages (Kshs 4,166/-), one month's salary in lieu of notice (Kshs 25,000/-), three months' salary as compensation (Kshs 75,000/-), service pay (Kshs 62,500/-) and costs of the suit. The claim was therefore partially allowed.

Key legal issues

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01

Validity of reason for termination (alleged theft)

Holding

The alleged theft, even if a ground for summary dismissal, could not save the termination because no hearing was conducted

Reasoning

The court noted the respondent asserted repeated theft of food items, a ground for dismissal under the Employment Act, but it was uncontroverted that no hearing was undertaken in terms of section 41. Since procedural fairness was not accorded, the termination was ipso facto unfair and unlawful notwithstanding the alleged gross misconduct.

p. 5
02

Procedural fairness under section 41 of the Employment Act

Holding

Failure to accord the employee a hearing before termination rendered the termination unfair

Reasoning

Section 41 requires an employer to notify the employee of the grounds of contemplated termination and to give the employee an opportunity to present explanations with a fellow employee present. The respondent conceded no hearing was held, so the statutory safeguards were breached and the dismissal could not stand even if there were valid grounds.

p. 5
03

Burden of proof and records of employment

Holding

The employer, having custody of employment records, suffered an adverse inference for failure to rebut the claimant's assertions on NSSF contributions

Reasoning

In the absence of an employment letter and employer records, the court could not discern whether the respondent complied with the law on deductions and remittance of NSSF. Because the respondent failed to rebut the claimant's assertion with sufficient evidence, an adverse finding was made that contributions were not made, entitling the claimant to service pay.

p. 5
04

Overtime claim

Holding

The overtime claim failed for want of supporting material

Reasoning

Although the claimant claimed overtime for five hours per day over five years and two months, he did not lay before the court the material necessary for the court to ascertain whether he indeed worked overtime, so no award was made on that head despite the defence witness admitting shift records existed but were not produced.

p. 5
05

Unpleaded allegations of sexual harassment

Holding

The court disregarded unpleaded insinuations of sexual harassment by the respondent's witness

Reasoning

The respondent asserted without proof that the claimant had been accused of sexual harassment. Since this was not made an issue in the pleadings, the court ignored the insinuations and reminded itself of the statutory provisions on sexual harassment under section 6 of the Employment Act.

p. 5

Legal principles established

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  • Termination without affording the employee a hearing under section 41 of the Employment Act is unfair and unlawful even if the grounds for dismissal (gross misconduct/theft) exist
  • Where an employer is charged with the duty of keeping employment records and fails to rebut an employee's assertion with sufficient evidence, an adverse inference may be drawn against it
  • An unpleaded limitation defence cannot be sustained by the court

Court orders

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  1. 1.Payment of 5 days worked and not paid for – Kshs 4,166/-
  2. 2.One month's salary in lieu of notice – Kshs 25,000/-
  3. 3.Three months' salary as compensation for unfair termination – Kshs 75,000/-
  4. 4.Service pay being 15 days for each completed year of service – Kshs 62,500/-
  5. 5.Costs of the suit to the claimant
  6. 6.Interest implicitly per the claim (the court entered judgment for the claimant as itemised)

Authorities

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Legislation

  • Employment Act, 2007section 45(2)
  • Employment Act, 2007section 47(5)
  • Employment Act, 2007section 41
  • Employment Act, 2007section 35(5) and (6)
  • Employment Act, 2007section 44(3) and 44(4)(c) to (f)
  • Employment Act, 2007section 90
  • Employment Act, 2007section 6(2), (3) and (4)

Cases cited (8)

  • Stephen Onyanqo Achola & another v Edward Honqo Sule & another
    [2004] eKLR
  • Nicholus Muasya Kyula v Farmchem Ltd
    [2012] eKLR
  • CMC Aviation Limited v Mohammed Noor
    [2015] eKLR
  • Martin Ireri Ndwiga v Olerai Management Company
    [2017] eKLR
  • John Kiiru Njiiri v University of Nairobi
    [2021] eKLR
  • Palluci Home Depot (Pty) Ltd v Herskowitz & others
    [2014] ZALAC 81
  • Christopher Komen Chebet v Brinks Security Services Ltd
    [2019] eKLR
  • Kipkepe Limited v Peterson Ondieki Tai
    [2016] eKLR
Jurisdiction invoked
Employment and Labour Relations Court jurisdiction over claims of unlawful and unfair termination of employment under the Employment Act, 2007 (not expressly cited in the judgment)

Key timeline

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Practical implications

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Frequently asked questions

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Later judgments citing this (2)

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Judgments in the corpus that rely on this one. Where the Court said how it treated the authority, that is shown.

Cite this brief

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Cite this brief

Caselaw, "Wambua v Newlight Schools Limited (Cause 475 of 2018) [2023] KEELRC 531 (KLR)", Case Analysis (2023). Not stated in the judgment (memorandum of claim dated April 5, 2018). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2023/531/eng@2023-02-28

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