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ELRCPartially AllowedEmployment Cause (memorandum of claim filed 3rd April, 2018)· [2024] KEELRC 109 (KLR)

Kenya National Union of Private School Teachers (Suing on behalf of Booker Otieno) v Shree Oshwal Community of Nakuru t/a Shah Lalji Nangpar Academy (Cause 87 of 2018) [2024] KEELRC 109 (KLR)

Employment and Labour Relations Court
1 February 2024
6,242 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
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The bottom line

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A Kenyan court ruled a teacher's firing unfair because the school had no solid evidence and denied him a fair hearing, awarding Kshs. 673,200.

What this practically means

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Executive summary

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The claimant trade union, on behalf of grievant Booker Otieno, a teacher employed by the respondent academy from 9th December, 1997 until his termination on 30th May, 2016, claimed notice pay, gratuity at 50%, leave pay, a withheld deduction and compensation for unfair termination totaling Kshs.1,156,289.65. The respondent asserted the grievant was lawfully terminated for abandoning students during a swimming trip to Nairobi and that due process was followed. The court found the termination unfair both in substance and procedure. Substantively, the allegation of abandonment rested solely on a report by a headteacher who neither attended the trip nor testified, based on an unverified parental complaint, with no student, parent or witness evidence. Procedurally, the grievant was not informed of his right to a union representative, could not question his accusers, and the disciplinary hearing was held at the Federation of Kenya Employers' offices without explanation. The court awarded notice pay of Kshs.43,600/= (the alleged payment of Kshs.47,658/= being unproven), gratuity of Kshs.280,800/= (the alleged change to a pension scheme being an unproven unilateral variation), and compensation of eight months' gross pay (Kshs.348,800/=) under Section 49(4) of the Employment Act given the grievant's long service of over 18 years. Claims for leave pay and the Kshs.3,150/= deduction were denied as unproven and time-barred respectively. A declaration of unfair termination was issued, the total award of Kshs.673,200/= to earn court-rate interest, a certificate of service to be delivered within 30 days, and costs with interest to the claimant.

Key legal issues

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01

Whether the termination was fair in substance

Holding

The respondent had no genuine and reasonable grounds for the disciplinary action; the allegations of abandoning students rested on an unverified report by a headteacher who did not testify, with no parent, student or witness evidence

Reasoning

The charge was based on a report by Miss Jayne Gathuri who was not on the trip and relied on a verbal complaint from a parent who never recorded a statement or attended the disciplinary hearing. The allegedly abandoned student was never interviewed. No evidence from any parent or witness confirmed abandonment. The employer failed to investigate and gather adequate evidence, acting with haste, fiat, caprice and bad faith.

p. 10
02

Whether the termination procedure adhered to natural justice

Holding

The procedure did not substantially adhere to rules of natural justice - the grievant was not informed of his right to a union representative, could not question his accusers, and the hearing was held at the FKE offices without explanation

Reasoning

The grievant was not told he could bring a union representative; the minutes showed no witness, co-worker or union representative accompanied him and no explanation was given. Miss Jayne Gathuri, who prepared the accusatory report, took the minutes, denying the grievant any chance to question her. No parent or witness was called to confirm abandonment. The hearing venue at the employers' umbrella body's offices created a perception of bias.

p. 10
03

Whether the grievant was entitled to gratuity despite the alleged switch to a pension scheme

Holding

Yes - no evidence proved the change from the gratuity scheme; the alleged change was an unfair unilateral change and the grievant was awarded Kshs.280,800/= as pleaded

Reasoning

RW1 admitted he had no evidence that the gratuity scheme ended or was replaced by a pension scheme, and no evidence that employees were informed or consulted. Since the grievant served 19 years, placing him in the 15-20 year category payable at 50%, and the termination was unfair, the gratuity was awarded. Cases cited by the respondent were distinguished because gratuity was provided for in the contract.

p. 11
04

Whether the claim for leave pay was sustainable

Holding

No - the grievant admitted taking school holidays as leave, produced no evidence of working 365 days a year, and the claim exceeded the three-year limitation period under Section 90 of the Act

Reasoning

The grievant admitted in cross-examination that the roughly eight weeks of school holidays each year constituted his annual leave. It was for him to prove he worked over the holidays, and no evidence was adduced. In any event, the claim covered a period beyond the three years preceding the cause of action permitted by Section 90 of the Employment Act.

p. 11

Legal principles established

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  • Fair termination has two critical components - substantive and procedural fairness
  • An employer need not prove misconduct beyond reasonable doubt but the grounds for termination must be reasonable, genuine and based on due diligence
  • Disciplinary hearings should be held at the workplace or neutral ground to avoid perception of bias against the employee
  • A unilateral change of terms and conditions of service by an employer without evidence of consultation is unfair and unlawful

Court orders

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  1. 1.A declaration that the respondent unfairly and unlawfully terminated the claimant
  2. 2.The claimant is awarded Kshs.673,200/= (notice pay Kshs.43,600/=, gratuity Kshs.280,800/=, compensation Kshs.348,800/=)
  3. 3.The above amount shall earn interest at court rates from the date of judgment till payment in full
  4. 4.The respondent shall issue and deliver to the claimant a certificate of service within 30 days of the judgment
  5. 5.Costs of the cause and interest thereon to the claimant
  6. 6.All other reliefs denied and dismissed

Authorities

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Legislation

  • Employment ActSection 51
  • Employment ActSections 35, 40, 41, 43, 44, 45, 46 & 47
  • Employment ActSection 43(2)
  • Employment ActSection 49(4)
  • Employment ActSection 90
  • Constitution of KenyaArticles 41 and 47
  • Fair Administrative Action Actvarious provisions
  • Evidence ActSections 107, 108 & 109

Cases cited (8)

  • National Bank of Kenya v Samuel Nguru Mutonya
    (2019) eKLR
  • Florence Wambui Gitau v Eclipse International
    (2019) eKLR
  • Kenya Power & Lighting Company Limited v Aggrey Lokorito Wasike
    (2017)
  • Mary Chemweno v Kenya Pipeline Company Limited
    (2017) eKLR
  • Loice Otieno v Kenya Commercial Bank Limited
    (2013) eKLR
  • Walter Ogal Anuro v Teachers Service Commission
    (2012) eKLR
  • Lilian Mwende Nzabu v Trustees and Office Bearers of the Diocese of the Anglican Church of Kenya
    (2018) eKLR
  • Timothy Nderi v Safaricom Limited
    (2020) eKLR
Jurisdiction invoked
Employment and Labour Relations Court jurisdiction under the Employment Act and Article 41 of the Constitution

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, "Kenya National Union of Private School Teachers (Suing on behalf of Booker Otieno) v Shree Oshwal Community of Nakuru t/a Shah Lalji Nangpar Academy (Cause 87 of 2018) [2024] KEELRC 109 (KLR)", Case Analysis (2024). Employment Cause (memorandum of claim filed 3rd April, 2018). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2024/109/eng@2024-02-01

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