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ELRCDismissedCause No E981 of 2021· [2024] KEELRC 1 (KLR)

Nzioki v Lazizi Premiere Ltd t/a Crowne Plaza Nairobi Airport Hotel (Cause E981 of 2021) [2024] KEELRC 1 (KLR)

Employment and Labour Relations Court
22 January 2024
6,500 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~26 min to read original · ~4 min brief

The bottom line

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Kenya's Employment Court dismissed an unfair termination claim because the hotel proved valid reasons, followed fair procedure, and the employee had signed away further claims.

What this practically means

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Executive summary

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The Claimant, formerly Deputy Sales Market Manager at Crowne Plaza Nairobi Airport earning Kshs.205,000 monthly, sued for unfair termination following her summary dismissal on 30th August, 2021. She sought declarations that the termination violated Article 41(1) of the Constitution and was wrongful and unfair, general damages, tabulated dues including unpaid commission, costs and interest. She alleged a notice to show cause limited to two charges, with a third ground (breach of confidentiality) introduced later without a fresh notice, and a vendetta against her by the General Manager. The Respondent maintained she was accorded a fair hearing and had valid reasons for dismissal. The court framed three issues: whether termination was unfair, entitlement to reliefs, and waiver of claims. It found no proof of vendetta or discrimination. On substance, applying Section 43(2) of the Employment Act and the band-of-reasonableness test, the court found the Claimant had misused the company vehicle, submitted false Daily Sales Reports, and admitted sharing confidential guest information, giving the employer valid and fair reasons. On procedure, the notice to show cause, responses, hearings with a representative, provision of documents, and appeal satisfied Section 41; the confidentiality charge was put to her by questionnaire and admitted. Finally, by signing the Final Dues Payment and computation forms, the Claimant waived further claims. All reliefs were declined and the suit was dismissed with no orders as to costs.

Key legal issues

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01

Valid and fair reason for termination

Holding

The Respondent had a valid and fair reason: the Claimant misused the company vehicle, filed false Daily Sales Reports and breached confidentiality, all admitted

Reasoning

The court applied Section 43(2) of the Employment Act and the band-of-reasonableness test. The Claimant admitted dishonesty in her DSRs, admitted sharing confidential guest information with a third party, and a disciplinary committee experiment corroborated the falsehoods. Even absent the confidentiality charge, the remaining grounds sufficed.

p. 10
02

Procedural fairness under Section 41

Holding

Fair procedure was accorded: notice to show cause, responses, hearings with a representative, and an appeal

Reasoning

The Claimant received a notice to show cause and responded; she was invited to hearings, attended with a representative, was given requested documents, and appealed. The confidentiality charge arising mid-hearing was put to her by questionnaire which she answered and admitted; the court held the outcome would differ only had she contested it.

p. 12
03

Waiver by signing final dues forms

Holding

By signing the Final Dues Payment and computation, the Claimant discharged the Respondent and waived further claims

Reasoning

Applying Coastal Bottlers v Kimathi Mithika and Thomas De La Rue, the court held the signed final dues forms, executed freely and with the certificate of service, constituted a complete discharge of the Respondent's obligations regardless of adequacy of the amount.

p. 13
04

Alleged vendetta and discrimination by the General Manager

Holding

Not proved; irrelevant to the judgment

Reasoning

The Claimant tendered no corroborative evidence of the 'driver' tag, the Sheraton interview allegation, or differential treatment compared to peers. Segmentation of accounts was admitted to be an executive decision; the email faulted only the timing.

p. 6

Legal principles established

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  • For a termination to pass the fairness test the employer must prove both a valid and fair reason and procedural fairness
  • Under Section 43(2) of the Employment Act the test is whether the employer genuinely believed the reasons existed
  • Whether a discharge voucher bars further claims depends on its import and whether it was voluntarily executed

Court orders

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  1. 1.Dismissal of the Claimant's suit
  2. 2.No orders as to costs

Authorities

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Legislation

  • Constitution of Kenya, 2010Article 41(1)
  • Constitution of Kenya, 2010Article 50(2)(b)(c) and (j)
  • Constitution of Kenya, 2010Article 159(2)(d)
  • Constitution of Kenya, 2010Article 48
  • Employment Act, 2007Sections 25, 41, 43, 43(2), 45(2), 47(5)
  • Civil Procedure Act (Chapter 21)Section 1B
  • Civil Procedure RulesOrder 21 Rule 1

Cases cited (18)

  • Walter Ogal Anuro V Teachers Service Commission
  • New Kenya Co-operative Creameries Ltd V Olga Auma Adede
    (2019) eKLR
  • Joseph Mwaniki Nganga V United Millers Ltd
    (2022) eKLR
  • Elizabeth Kioko V Beyene Haire Warde & another
    (2018) eKLR
  • Enock Thiong'o Kibathi V Directline Assurance Co. Ltd
    (2021) eKLR
  • Kenya Electrical Traders & Allied Workers Union V Kenya Power & Lighting Co. Ltd
  • CFC Stanbic Bank Ltd V Danson Mwashako Mwakuwona
    (2015) eKLR
  • Judicial Service Commission V Gladys Boss Shollei
    (2014) eKLR
  • Kenya Power & Lighting Co. Ltd V Aggrey Lukorito Wasike
    (2017) eKLR
  • Naima Khamis V Oxford University Press EA Ltd
    (2017) eKLR
  • Galgalo Jarso Jillo V Agricultural Finance Corporation
    (2021) eKLR
  • Kenya Revenue Authority V Reuwel Waithaka Gitahi & 2 others
    (2019) eKLR
  • British Leyland (UK) Ltd V Swift
    (1981) I.R.L.R 91
  • Pius Machafu Isindu V Lavington Security Guards Ltd
    (2017) eKLR
  • Postal Corporation of Kenya V Andrew K. Tanui
    (2019) eKLR
  • Coastal Bottlers Co. Ltd V Kimathi Mithika
    (2018) eKLR
  • Thomas De La Rue (K) Ltd V David Opondo Omutelema
    (2013) eKLR
  • Trinity Prime Investment Ltd V Lion of Kenya Insurance Co. Ltd
    (2015) eKLR
Jurisdiction invoked
Employment and Labour Relations Court jurisdiction under Article 162(2) of the Constitution and the Employment Act, 2007 (claim for unfair termination; Article 41(1) invoked in the reliefs)

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, "Nzioki v Lazizi Premiere Ltd t/a Crowne Plaza Nairobi Airport Hotel (Cause E981 of 2021) [2024] KEELRC 1 (KLR)", Case Analysis (2024). Cause No E981 of 2021. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2024/1/eng@2024-01-22

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