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ELRCPartially AllowedNot stated in the judgment provided· [2024] KEELRC 1183 (KLR)

Bakery Confectionary Food Manufacturing & Allied Workers Union v Weetabix East Africa Limited (Cause E407 of 2023) [2024] KEELRC 1183 (KLR)

Employment and Labour Relations Court
7 May 2024
2,595 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~10 min to read original · ~4 min brief

The bottom line

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Kenya's Employment Court ruled employers cannot compress a CBA's 45-hour week into fewer days to dodge daily overtime pay.

What this practically means

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Executive summary

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The Employment and Labour Relations Court (Manani J) determined a dispute over the interpretation of clause 9 of a Collective Bargaining Agreement dated 22nd October 2021, which fixes a standard working week of 45 hours spread over five working days, with overtime payable for hours in excess of 45 per week. The Claimant (a union) contended that overtime should be computed on a daily basis, so that work beyond nine hours in any day attracts overtime pay. The Respondent unilaterally moved its unionizable employees to twelve-hour shifts over four days per week, computing overtime on a weekly basis. The Conciliator had favoured the Respondent's position, relying on section 27 of the Employment Act. The court rejected that view, holding that clauses 9(a) and 9(b) must be read together: the CBA contemplates a five-day working week, and the 45 hours must be spread over five days, ordinarily evenly, absent justification. Anchoring its reasoning in Article 41's right to fair labour practices and the need for predictable working hours, the court held that the Respondent's rearrangement was a breach of the CBA and an unfair labour practice, and that section 27's discretion cannot be used to manipulate hours. However, because there was no pleaded or proved evidence that employees went unpaid on the extra rest day, the court declined to order overtime for the period before judgment. Prospective declarations and directions were issued, including daily computation of overtime going forward, with costs granted to the Claimant.

Key legal issues

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01

Interpretation of clause 9 of the CBA - whether overtime is computed daily or weekly

Holding

Clauses 9(a) and 9(b) must be read together; the CBA contemplates a five-day working week, so the 45 hours must be spread over five days and hours beyond nine in any day attract overtime.

Reasoning

The court held that reading sub-clauses (a) and (b) of clause 9 in isolation yields absurd results. Clause 9(a) fixes both the weekly hours (45) and the working days (five), so the Respondent's unilateral reduction of the working week to four days with twelve-hour shifts violated the CBA. The Conciliator's contrary reading, resting on section 27 of the Employment Act, was rejected because the employer's discretion must be exercised within the CBA and must preserve predictability of daily working hours.

p. 2
02

Constitutional dimension - fair labour practices and predictability of hours

Holding

Article 41 requires fair and predictable terms of employment; the employer and employees must agree beforehand on daily hours so employees can predict when overtime accrues.

Reasoning

The court invoked Article 41 of the Constitution to anchor the interpretive outcome: an employee is entitled to predict with reasonable certainty when overtime pay accrues. Allowing the employer to manipulate daily hours under section 27 of the Employment Act would defeat that predictability. The court drew support from the Hours of Work (Industry) Convention, 1919, which recommends an eight-hour standard day, as evidence of international best practice favouring standardized daily hours and sufficient rest.

p. 2
03

Retroactive overtime pay

Holding

No orders for past overtime, since the extra rest day was presumably granted with full pay and the non-payment contention was neither pleaded nor supported by evidence.

Reasoning

The Claimant's suggestion that employees were not remunerated for the extra rest day found no support in the evidence and was not pleaded in the Statement of Claim. Absent evidence of non-payment, the court presumed employees received remuneration for that day in line with accepted labour practices and declined to make any order for overtime for the elapsed period, confining relief to the future conduct of the Respondent.

p. 4

Legal principles established

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  • Where a CBA fixes normal weekly hours and specifies the number of working days over which they are to be spread, the employer may not unilaterally redistribute the hours over fewer days to avoid daily overtime liability; overtime falls to be computed on a daily basis where daily normal hours are exceeded.
  • The employer's statutory discretion to fix hours of work under section 27 of the Employment Act must be exercised in compliance with the CBA and the constitutional right to fair labour practices, which require predictable working hours.

Court orders

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  1. 1.Declaration that the work shift arrangement and overtime computation of unionisable employees violates clause 9 of the CBA
  2. 2.Declaration that overtime is to be calculated on a daily rather than weekly basis; the normal work week constitutes five working days with a maximum of nine normal working hours per day
  3. 3.No orders on overtime pay for the period before the decision, the extra rest day having presumably been granted with full pay
  4. 4.The Respondent to adjust its shift schedule to a five-day, nine-hours-a-day work programme going forward
  5. 5.Any unionizable employee required to work beyond nine hours in a day during the currency of the CBA deemed to have accrued overtime pay
  6. 6.If the Respondent does not adjust its shift schedule, it is deemed to have waived the right to a five-day work week, without affecting daily overtime entitlements
  7. 7.Costs of the case granted to the Claimant
Jurisdiction invoked
First-instance jurisdiction of the Employment and Labour Relations Court over a trade dispute referred after conciliation (ELRC; judgment does not state the specific enabling 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, "Bakery Confectionary Food Manufacturing & Allied Workers Union v Weetabix East Africa Limited (Cause E407 of 2023) [2024] KEELRC 1183 (KLR)", Case Analysis (2024). Not stated in the judgment provided. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2024/1183/eng@2024-05-07

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