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ELRCPartially AllowedCause No E995 of 2021· [2024] KEELRC 125 (KLR)

Kilui v Tropical Ice (E.A) Limited (Cause E995 of 2021) [2024] KEELRC 125 (KLR)

Employment and Labour Relations Court
5 February 2024
3,844 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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A Kenyan court converted a casual worker's job to a formal contract but dismissed all money claims because the employee could not prove unfair termination.

What this practically means

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Executive summary

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The Claimant sued the Respondent, a safari operator, alleging unfair termination of employment. He claimed he was employed as a driver in 1982 at a consolidated daily rate that rose to Kshs 1,000, was entitled to leave, house allowance and sick leave, and that after being treated for stomach ailments during the COVID-19 period he was turned away at the Respondent's gate. He sought declarations of conversion from casual to permanent employment and of unfair termination, notice pay, six months' compensation, underpayment, annual leave, house allowance, sick leave and damages totalling Kshs 10,355,163. The Respondent admitted a seasonal engagement relationship but contended each safari was a new contract, the business was seasonal, claims before November 2018 were time barred, and the parties parted ways amicably. By agreement the suit proceeded by documentary evidence and written submissions under Regulation 21 of the ELRC Procedure Rules, 2016. The court framed four issues. It found the Claimant was initially a casual employee, and that the Respondent's failure to produce records beyond selected periods, given the five-year record-keeping duty under Section 10(6) of the Employment Act, supported an inference that the relationship continued on similar terms. Applying Section 37, the court declared that the Claimant's employment transitioned from casual employment to a contract of service. However, under Section 47(5) the burden of proving unfair termination lay on the Claimant, and his evidence on the alleged turning away at the gate was lacking; that claim was dismissed. All monetary reliefs, including underpayment, leave, house allowance, gratuity and sick leave, failed for want of particulars and proof. The suit was dismissed save for the declaration, with each party bearing their own costs.

Key legal issues

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01

Nature of the Claimant's employment

Holding

The Claimant was a casual employee as defined in Section 2 of the Employment Act, engaged at a consolidated daily rate payable per safari.

Reasoning

The letter of renewal dated 15th June 2002 showed termination on one day's notice and daily payment. The Respondent adduced no evidence of the terms of the relationship after January 2003 or of the seasonal nature of the business. Selective records were produced. The court inferred the relationship continued on similar terms, and found the Claimant was a casual employee.

p. 6
02

Conversion from casual to contract of service under Section 37

Holding

The employment transitioned from casual to a contract of service as the statutory threshold of continuous service was met.

Reasoning

The court was persuaded that the parties continued the relationship after January 2003 and that the Claimant rendered services for the duration prescribed by Section 37, namely at least one month of continuous service or the equivalent of three months' working days in aggregate, entitling him to attendant rights such as leave. The Respondent produced no evidence to rebut the transition.

p. 6
03

Whether termination was unfair

Holding

The Claimant failed to discharge the burden of proving unfair or wrongful termination and that claim was dismissed.

Reasoning

Section 47(5) places the burden of proving unfair termination on the employee. The Claimant alleged he was turned away at the Respondent's gate after recovery but gave no dates, no witness, and no particulars; his own documents showed he had not recovered by July 2021. The claim of unlawful termination lacked relevant particulars and failed.

p. 7

Legal principles established

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  • Under Section 37 of the Employment Act, a casual employee whose service exceeds the statutory threshold transitions to a contract of service.
  • Under Section 10(6) of the Employment Act, employment records must be kept for five years after termination of employment, which signifies cessation of the relationship.
  • Under Section 47(5) of the Employment Act, the burden of proving unfair termination rests on the employee and does not shift even where the employer's defence is weak.
  • Under Section 31(2)(a) of the Employment Act, house allowance need not be paid where the wage is consolidated.

Court orders

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  1. 1.Declaration that the Claimant's employment transitioned from casual employment to a contract of service by virtue of Section 37 of the Employment Act, 2007
  2. 2.Dismissal of the declaration that termination of employment was wrongful, unfair and unlawful
  3. 3.Dismissal of the claims for one month's salary in lieu of notice, six months' salary compensation and damages for unfair termination
  4. 4.Dismissal of the claim for underpayment of salary for 38 years
  5. 5.Declining of the claim for annual leave for 38 years
  6. 6.Dismissal of the claim for gratuity benefit for 38 years
  7. 7.Declining of the claim for house allowance
  8. 8.Declining of the claim for sick leave for 38 years
  9. 9.Dismissal of the Claimant's suit save for the declaration
  10. 10.Order that each party bear their own costs

Authorities

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Legislation

  • Employment Act, 2007Section 37
  • Employment Act, 2007Section 41
  • Employment Act, 2007Section 45
  • Employment Act, 2007Section 35
  • Employment Act, 2007Section 36
  • Employment Act, 2007Section 49
  • Employment Act, 2007Section 90
  • Employment Act, 2007Section 10(6)
  • Employment Act, 2007Section 10(1)
  • Employment Act, 2007Section 2
  • Employment Act, 2007Section 47(5)
  • Employment Act, 2007Section 31(2)(a)
  • Employment and Labour Relations Court (Procedure) Rules, 2016Regulation 21
  • Regulation of Wages (General)(Amendment) OrdersNot specified
  • Constitution of Kenya, 2010Article 159(2)(d)
  • Constitution of Kenya, 2010Article 48
  • Civil Procedure Act (Chapter 21, Laws of Kenya)Section 1B
  • Civil Procedure RulesOrder 21 Rule 1

Cases cited (8)

  • Abigael Jepkosgei Yator & another v China Hanan International Co. Ltd
    (2018) eKLR
  • Nanyuki Water & Sewerage Co. Ltd v Benson Mwiti Ntiritu & 4 others
    (2018) eKLR
  • Alphonse Machanga Mwachanya v Operation 680 Ltd
    (2013) eKLR
  • G4S Security Services (K) Ltd v Joseph Kamau & 468 others
  • Joseph Thiongo Mburu v Avenue Service Station Ltd
    (2019) eKLR
  • Josphat Njuguna v Highrise Self Group
    (2014) eKLR
  • Silas Mutwiri v Haggai Multi-Cargo Handling Services Ltd
    (2013) eKLR
  • Nicholus Kipkemoi Korir v Hatari Security Guards Ltd
    (2016) eKLR
Jurisdiction invoked
Original jurisdiction of the Employment and Labour Relations Court under the Employment Act, 2007; proceedings conducted under Regulation 21 of the Employment and Labour Relations Court (Procedure) Rules, 2016

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, "Kilui v Tropical Ice (E.A) Limited (Cause E995 of 2021) [2024] KEELRC 125 (KLR)", Case Analysis (2024). Cause No E995 of 2021. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2024/125/eng@2024-02-05

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