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ELRCOtherCause (number not stated in judgment)· [2024] KEELRC 2649 (KLR)

Moiki v Ragos Trading Company Ltd (Cause E478 of 2023) [2024] KEELRC 2649 (KLR)

Employment and Labour Relations Court
31 October 2024
RSRADIDO STEPHEN
424 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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Employees earning under Kshs 80,000 monthly must file employment claims in Magistrates' Courts first, and naming constitutional rights won't change that.

What this practically means

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Executive summary

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The Claimant sued the Respondent alleging unfair termination of employment, breach of contract, and violation of constitutional rights to fair labour practices, fair administrative action, human dignity and equal protection of the law. The Respondent raised a Notice of Preliminary Objection contending that, under Gazette Notice No. 6024 published on 22/6/2018 by the Chief Justice, employment disputes where monthly pay does not exceed Kshs 80,000/- fall within the jurisdiction of designated special Magistrates' Courts, and that the ELRC's jurisdiction could only be invoked on appeal. The Claimant opposed, asserting he sought enforcement of fundamental rights over which a Magistrates' Court had no jurisdiction. The Court noted the Claimant earned Kshs 27,585/- per month, within the delegated monetary threshold. Although the Claimant pleaded constitutional violations, the Court found on inspection of the Memorandum of Claim that these were in substance allegations of breach of statutory and contractual rights: dismissal without reasons, failure to comply with procedural fairness, failure to grant annual leave, unpaid overtime and unpaid terminal dues. The Court held that merely enumerating constitutional rights in pleadings and asserting violation cannot convert a statutory claim into a constitutional dispute, and that all heads of claim could be remedied under statutory law without applying or interpreting the Constitution. The Preliminary Objection was upheld and the Cause transferred to the Chief Magistrates' Milimani Commercial Courts, Nairobi, with costs in the cause.

Key legal issues

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01

Jurisdiction of the ELRC over employment disputes within the delegated monetary jurisdiction of the Magistrates' Courts

Holding

The Court lacks jurisdiction; the dispute must be heard by the Magistrates' Court designated under Gazette Notice No. 6024 of 2018

Reasoning

By Gazette Notice No. 6024 of 2018 the Chief Justice delegated employment disputes where monthly pay does not exceed Kshs 80,000/- to the Magistrates' Courts. The Claimant earned Kshs 27,585/- per month, so his employment dispute falls within the delegated jurisdiction and the ELRC cannot entertain the suit at first instance.

p. 2
02

Whether pleading constitutional rights converts a statutory employment claim into a constitutional dispute

Holding

No; the alleged violations were in substance breaches of statutory and contractual rights remediable without invoking the Constitution

Reasoning

The Court examined the Memorandum of Claim and found the pleaded constitutional violations were allegations of breaches of statutory and contractual rights such as dismissal without reasons, failure to grant leave, unpaid overtime and terminal dues. These can be remedied under statutory law without application or interpretation of the Constitution, so constitutional jurisdiction cannot be invoked by merely naming rights in pleadings.

p. 2

Legal principles established

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  • A mere enumeration of constitutional rights in pleadings does not convert a statutory claim into a constitutional dispute.

Court orders

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  1. 1.The Notice of Preliminary Objection is upheld
  2. 2.The Cause is transferred to the Chief Magistrates Milimani Commercial Courts, Nairobi for hearing and determination
  3. 3.Costs in the cause
Jurisdiction invoked
Gazette Notice No. 6024 of 22/6/2018 by the Chief Justice designating special Magistrates' Courts for employment disputes where monthly pay does not exceed Kshs 80,000/-

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, "Moiki v Ragos Trading Company Ltd (Cause E478 of 2023) [2024] KEELRC 2649 (KLR)", Case Analysis (2024). Cause (number not stated in judgment). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2024/2649/eng@2024-10-31

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