Mukono v Dan K Ameyo Francis Etole t/a Guto, Etole & Co Advocates (Cause E727 of 2020) [2024] KEELRC 1261 (KLR)
The bottom line
#A Nairobi court ruled a lawyer's summary dismissal of her legal assistant unfair, but most of his pay claims were too old or unproven to succeed.
What this practically means
#Executive summary
#Key legal issues
#Whether the termination was substantively justified
The employer failed to prove a valid and fair reason because it adduced no evidence at trial, though the letter of 2nd November 2017 amounted to a show-cause letter
Although the Claimant argued the demand for explanation was not a notice to show cause, the court held it was, as it demanded a specific account of the dismissal of Petition No. 9 of 2017 and defective affidavits. The Claimant's own response revealed lapses in commissioning affidavits, so the employer may have had a reason, but because the Respondent tendered no evidence, it failed to discharge its burden under Section 43 to prove a valid and fair reason.
Whether the termination procedure was fair under Section 41
Procedure was unfair; no disciplinary hearing was conducted
Section 41 prescribes mandatory procedural precepts: notification of allegations and a hearing. The record showed only a written demand for explanation and a written response, with no evidence of any communication between the response of 6th November 2017 and the termination on 10th November 2017. The Claimant was therefore not taken through a disciplinary process, rendering the summary dismissal procedurally unfair.
Limitation of salary arrears claims
Claims for salary from 2016 to June 2017 were time-barred under Section 90
Section 90 of the Employment Act requires civil actions arising from a contract of service to be commenced within three years. Using the June 2017 salary as the latest claim, the cause of action arose on 30th June 2017 and limitation expired on 1st July 2020, before the suit filed on 10th November 2020. Section 90 is mandatory and confers no discretion to extend time, so the court declined jurisdiction over those claims.
House allowance claim
Declined; salary was consolidated
Section 31 of the Employment Act obliges employers to provide housing unless the contract provides for consolidation. Clause 4 of the appointment letter expressly paid a lump sum covering salary and all allowances. Since the Respondent did not provide housing, the consolidation clause meant no separate house allowance was payable, rendering the claim unsustainable.
Compensation under Section 49(1)(c)
Equivalent of 4 months gross salary awarded
Having found the dismissal unfair, the court exercised discretion under Section 49(1)(c), considering about 5 years of service, absence of an appeal or wish to remain employed, a clean disciplinary record, and the Claimant's substantial contribution to the termination through negligent handling of affidavit commissioning. These factors led the court to fix compensation at the equivalent of 4 months gross salary as fair.
Discrimination claim
Not proved; general damages declined
Article 27 of the Constitution and Section 5(3) of the Employment Act outlaw discrimination, but the Claimant provided no particulars and no evidence that other employees were paid while he was not, nor why he remained employed for years without pay without complaint. The court found it atypical that an employee would work three consecutive months unpaid and do nothing, concluding the Claimant was not forthright and the claim was unmerited.
Legal principles established
#- For a termination to pass the fairness test, the employer must prove both a valid and fair reason (substantive justification) and procedural fairness; failure to adduce evidence means the employer fails to justify the termination even where the claim is undefended.
- Section 41 of the Employment Act is mandatory; termination without a disciplinary hearing is unfair.
- Section 90 of the Employment Act imposes a mandatory three-year limitation period which the court has no discretion to extend.
- In an undefended claim, the claimant still bears the burden of proving the case on a balance of probabilities.
Court orders
#- 1.Declaration that the summary dismissal of the Claimant by the Respondent was unfair
- 2.Award of unpaid salary for 13 days worked in November 2017
- 3.Award of pay in lieu of leave for 3 years
- 4.Award of the equivalent of 4 months gross salary as compensation under Section 49(1)(c) of the Employment Act
- 5.Issuance of a certificate of service to the Claimant
- 6.Respondent to pay 50% of the costs of the suit
- 7.Interest at court rates from date of judgment till payment in full
- Jurisdiction invoked
- Employment and Labour Relations Court jurisdiction under the Employment Act, 2007 (Sections 41, 43, 45, 47(5), 49, 51, 90) and Article 27 of the Constitution invoked
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Mukono v Dan K Ameyo Francis Etole t/a Guto, Etole & Co Advocates (Cause E727 of 2020) [2024] KEELRC 1261 (KLR)", Case Analysis (2024). Cause No E727 of 2020. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2024/1261/eng@2024-05-15
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.