Skip to content
AI-generated case briefs sourced from Kenya Law · Not legal advice
AI-generated case brief
Case Brief · caselaw.co.ke
ELRCDismissedCause No E008 of 2023· [2024] KEELRC 1464 (KLR)

Ayako v Kenya Pipeline Company Ltd (Cause E008 of 2023) [2024] KEELRC 1464 (KLR)

Employment and Labour Relations Court
13 June 2024
3,839 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~15 min to read original · ~4 min brief

The bottom line

#

Kenya's Employment Court ruled that different disciplinary outcomes for employees facing similar misconduct charges do not automatically amount to unfair discrimination.

What this practically means

#

Executive summary

#
The Claimant, formerly a Dispatch Assistant with the Respondent, sued challenging his summary dismissal of 9th March 2021, alleging discrimination, breach of the right to a fair hearing, and wrongful termination, and seeking declarations, general damages, 12 months' compensation, reinstatement or salary in lieu, and costs. The Respondent maintained the Claimant was summarily dismissed for fraud-related gross misconduct after investigations revealed fraudulent fuel orders processed using leaflets from a stolen order book, involving a fuel service provider whose premises no company vehicle had actually fuelled at. The court framed three issues: discrimination, unfair dismissal, and remedies. On discrimination, it held that differing disciplinary outcomes for the Claimant and a colleague (Rispah Kiptanui) facing different charges did not amount to discrimination, and the Claimant failed to prove unreasonable differential treatment. On procedure, the court found the notice to show cause, disciplinary hearing with representation, and appeal satisfied Section 41 of the Employment Act, rejecting the complaint about the 48-hour notice. On substance, applying the threefold test for justification, the court found the Respondent had ample and reasonable basis to believe the Claimant committed misconduct. The court concluded the dismissal was both procedurally and substantively fair, dismissed the entire claim with costs to the Respondent. Judgment was delivered at Kisumu on 13th June 2024 by C. N. Baari, J.

Key legal issues

#
01

Whether the Claimant was discriminated against in the disciplinary process

Holding

Discrimination not proven; the fact that Rispah Kiptanui was reinstated while the Claimant was dismissed did not establish discrimination

Reasoning

The court adopted the definition of discrimination as failure to treat persons equally where no reasonable distinction exists. RW2 testified the Claimant and Kiptanui faced different charges and the committee evaluated each response separately. The Claimant bore the burden of showing similar circumstances and culpability; he offered only the bare fact of Kiptanui's reinstatement. Following the Supreme Court's guidance on linking the aggrieved party to the alleged contravention, the claim failed.

p. 6
02

Whether the dismissal was procedurally fair

Holding

Procedurally fair; the 48-hour show cause notice, disciplinary hearing with representation, and appeal met Section 41 requirements

Reasoning

The Claimant was issued a notice to show cause outlining allegations, responded despite the short notice, was heard at a disciplinary hearing accompanied by a representative of his choice, and exercised his right of appeal. Relying on Philip Kimosop and Anthony Mkala Chitavi, the court found these steps satisfied the ingredients of procedural fairness under Section 41 of the Employment Act, notwithstanding the Claimant's complaint of inadequate time.

p. 7
03

Whether the dismissal was substantively justified

Holding

Substantively fair; the Respondent had reasonable grounds to believe the Claimant committed misconduct justifying summary dismissal

Reasoning

Under Section 43 the employer bears the onus of proving reasons for termination. The Respondent led evidence through the Security Officer and Senior Human Resource Officer that leaflets from stolen order book numbers were used to fraudulently fuel stationary vehicles, and that the Claimant, as Dispatch Assistant Clerk, was the creator and last processor of the fuel orders. Applying the threefold test from Kenya Ports Authority v Makau Munyao, the court found the Respondent's belief genuine, grounded and reasonably investigated.

p. 8

Legal principles established

#
  • Not all differentiation in treatment amounts to discrimination; discrimination arises where equal classes of people are subjected to different treatment without objective or reasonable justification
  • The party alleging discrimination bears the duty to demonstrate unreasonable differential treatment of persons of the same class or category
  • Different disciplinary outcomes for two employees facing similar charges do not, as a matter of course, amount to discrimination; outcomes may differ based on level of contribution and defence offered
  • A criminal trial and internal disciplinary proceedings by an employer are distinct processes with different procedural and standard of proof requirements (as submitted by the Respondent)
  • Serving a show cause letter, inviting the employee to an oral hearing, allowing witnesses, documents and representation constitutes fair procedure under Section 41 of the Employment Act
  • The threefold test for proof of reason for dismissal: genuine belief in guilt, reasonable grounds for that belief, and reasonable investigation

Court orders

#
  1. 1.The Claimant's claim is dismissed in its entirety
  2. 2.Costs of the suit awarded to the Respondent

Authorities

#

Legislation

  • Constitution of Kenya, 2010Article 27
  • Constitution of Kenya, 2010Article 50(2)(c)
  • Employment Act, 2007Section 5(3)
  • Employment Act, 2007Section 41
  • Employment Act, 2007Section 43
  • Employment Act, 2007Section 47(5)
  • Trade Disputes Actnot specified

Cases cited (13)

  • Ol Pejeta Ranching Limited v David Wanjau Muhoro
    [2017] eKLR
  • Mary Chemweno Kiptui v Kenya Pipeline Company
    [2014] eKLR
  • Hosea Akunga Ombwori v Bidco Oil Refineries Limited
    (2017) eKLR
  • Peter Waweru v Republic
    [2006] eKLR
  • Nyarangi & Others v Attorney General
    [2008] KLR 688
  • David O. Owino v Kenya Institute of Special Education
    [2013] eKLR
  • Kenya Shoe & Leather Workers Union v Modern Soap Factory
    [2015] eKLR
  • Lilian W Mbogo Omollo v Cabinet Secretary Ministry of Public Service and Gender & another
    [2020] eKLR
  • Communication Commission of Kenya & 5 others v Royal Media Services Limited & 5 others
    [2014] eKLR
  • Philip Kimosop v Kingdom Bank Limited
    (2022) eKLR
  • Anthony Mkala Chitavi v. Malindi Water & Sewerage Company Ltd
    [2013] eKLR
  • Reuben Ikatwa & 17 others v Commanding Officer British Army Training Unit Kenya & another
    Nyeri Civil Appeal No.97 of 2016
  • Kenya Ports Authority & another v Joseph Makau Munyao & 4 others
    [2019] eKLR
Jurisdiction invoked
Original jurisdiction of the Employment and Labour Relations Court over employment and labour relations disputes (claim filed as a Memorandum of Claim under the Employment Act; no specific constitutional article invoked as basis of jurisdiction)

Key timeline

#

Practical implications

#

Frequently asked questions

#

Cite this brief

#

Cite this brief

Caselaw, "Ayako v Kenya Pipeline Company Ltd (Cause E008 of 2023) [2024] KEELRC 1464 (KLR)", Case Analysis (2024). Cause No E008 of 2023. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2024/1464/eng@2024-06-13

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