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ELRCPartially AllowedCause (memorandum of claim dated 29th January 2016)· [2024] KEELRC 2863 (KLR)

Onyiego v Robinson Investment Limited (Cause 21 of 2016) [2024] KEELRC 2863 (KLR)

Employment and Labour Relations Court
7 November 2024
5,005 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 ruled a security guard's dismissal unfair because his employer never gave him a hearing, awarding him over Kshs 447,000 despite genuine desertion.

What this practically means

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Executive summary

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The claimant, engaged by the respondent security company as a guard, sued claiming underpayments, arrears, notice pay, overtime, off duties pay, public holidays pay, leave and uniform refunds, and compensation following his termination on 11th January 2016. He alleged he was dismissed after requesting redeployment nearer his home and was neither warned, heard, nor issued notices. The respondent maintained he deserted duty at his assigned post at Greensteads Schools by refusing to report without transport, was paid above the minimum wage for the area, and took leave in 2014 and 2015. The court framed four issues: the period and nature of employment; whether the dismissal was wrongful, unfair and unlawful; entitlement to reliefs; and costs. It held the claimant's employment commenced on deployment on 5th December 2013, not during his November 2013 training. On dismissal, although the claimant's failure to report for lack of transport gave the respondent a genuine, reasonable or probable ground under Section 43(2) of the Employment Act, the respondent failed to inform him of the desertion allegations, issue a show-cause letter, or conduct a disciplinary hearing, violating Section 41; the dismissal was thus wrongful, unfair and unlawful for want of procedural fairness. On reliefs, underpayment was proved against municipal minimum wage rates plus 15% housing allowance (Kshs86,641.41), notice pay (Kshs13,029.62), overtime (Kshs147,539.75), off duties pay (Kshs129,876.72) and public holidays pay (Kshs30,927.42) were awarded as the respondent failed to produce employment records; compensation was capped at three months' salary (Kshs39,088.86) for the claimant's contribution. Uniform refund, gratuity, NSSF dues and leave pay claims failed. Total award: Kshs447,103.78, subject to statutory deductions, with costs and interest.

Key legal issues

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01

Period and nature of employment - apprentice status during training

Holding

The claimant's employment commenced on deployment on 5th December 2013, not during his November 2013 training, as he was then under assessment of his suitability.

Reasoning

The claimant relied on the definition of employee in Section 2 of the Employment Act including an apprentice to argue his training period counted. The court noted the claimant applied for a job on 27th November 2013 and was subjected to training for assessment before deployment on 5th December 2013. It accepted the respondent's position that during training he was under assessment and not yet an employee.

p. 5
02

Whether dismissal was wrongful, unfair and unlawful - desertion versus termination

Holding

Although the respondent had a genuine, reasonable or probable ground (desertion) under Section 43(2), the dismissal was wrongful, unfair and unlawful for failure to follow Section 41 procedural fairness.

Reasoning

The court found the claimant deserted duty for lack of transport to the assigned post, giving the respondent a genuine ground for dismissal under Section 43(2). However, no show cause letter was issued, no particulars of the alleged desertion were given, and no disciplinary hearing was conducted. Failure to inform the claimant of the allegations violated Section 41 of the Act and Article 47 of the Constitution and the Fair Administrative Action Act.

p. 7
03

Underpayment claim

Holding

The claimant worked within the former Nakuru Municipality and was underpaid; awarded Kshs86,641.41 with 15% housing allowance added to the exclusive minimum wage figures.

Reasoning

The respondent produced no proof that the claimant's work stations were outside the municipality. RW1 conceded the municipal minimum wage figures (Kshs10,116.15 in 2013; Kshs11,330.10 in 2015). The minimum wages were exclusive of housing allowance, so 15% was added, and underpayment tabulated from December 2013 to 11th January 2016 against the actual gross pay of Kshs8,500.

p. 8
04

Overtime, off duties and public holidays

Holding

Overtime of Kshs147,539.75, off duties pay of Kshs129,876.72 and public holidays pay of Kshs30,927.42 awarded because the respondent failed to produce employment records.

Reasoning

The claimant testified he worked 12-hour days. Sections 9, 10 and 74 of the Employment Act place the duty to keep and produce employment records on the employer. In the absence of muster-rolls or records to dislodge the claimant's allegations, his evidence stood unchallenged. Tabulation was done from December 2013 to 11th January 2016 at the applicable minimum wage rates.

p. 9
05

Compensation under Section 49

Holding

Three months' gross salary (Kshs39,088.86) awarded instead of the maximum 12 months because the claimant contributed to his dismissal.

Reasoning

The claimant worked about three years and admitted he failed to report to his assigned post because he had no transport, thereby contributing to his dismissal. The court held this was not an appropriate case for maximum compensation and awarded three months' salary calculated on Kshs13,029.62.

p. 10

Legal principles established

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  • An employer must have a lawful reason and follow proper legal procedure before terminating or dismissing an employee
  • Even where there is a genuine ground for summary dismissal, the employer must still inform the employee of the allegations and accord a disciplinary hearing
  • Where the employer fails to keep and produce employment records, the employee's unchallenged evidence on hours worked stands
  • An apprentice undergoing assessment/training before deployment is not yet an employee

Court orders

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  1. 1.A declaration that the dismissal of the claimant by the respondent was wrongful, unfair, and unlawful for lack of procedural fairness
  2. 2.Award to the claimant of a total of Kshs447,103.78 (underpayment Kshs86,641.41; one month's salary in lieu of notice Kshs13,029.62; overtime Kshs147,539.75; off duties Kshs129,876.72; public holidays pay Kshs30,927.42; compensation for wrongful and unlawful dismissal Kshs39,088.86), subject to statutory deductions
  3. 3.The claimant is awarded costs of this cause together with interest

Authorities

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Legislation

  • Employment ActSection 2
  • Employment ActSections 9, 10
  • Employment ActSection 35
  • Employment ActSections 35, 36
  • Employment ActSections 40, 41
  • Employment ActSection 41(2)
  • Employment ActSections 43, 43(2), 44, 44(4)(e), 45, 46
  • Employment ActSection 49
  • Employment ActSection 74
  • Constitution of KenyaArticle 47
  • Fair Administrative Action Actnot specified
  • The Regulation of Wages (General) (Amendment) Order, 2013Legal Notice 197 (Minimum Wages Order 2013)
  • The Regulation of Wages (General)(Amendment) Order 2015Legal Notice 116 (Minimum Wages Order May 2015)

Cases cited (10)

  • Judith Atieno Owuor v Sameer Agriculture and Livestock Limited
    (Cause 1442 of 2015) [2020] KEELRC 609 (KLR)
  • Walter Ogal Anuro -v- Teachers Service Commission
    (2013) eKLR (also cited as (2012) eKLR)
  • Ronald Nyambu Daudi v Tornado Carriers Limited
    (Cause 236 of 2019) [2019] KEELRC 2150 (KLR)
  • Seabolo v Belgrava Hotel
    (1997)6 BLLR 829(CMMA)
  • Thomas Sila Nzivo v Bamburi Cement Limited
    (2014) eKLR
  • Standard Group Limited V Jenny Leusby
    (2018) eKLR
  • Evans Ochieng Oluoch V Njimia Pharmaceuticals Limited
    (2016) eKLR
  • Mary Chemweno v Kenya Pipeline Company Limited
    (2017) eKLR
  • Loice Otieno v Kenya Commercial Bank Limited
    (2013) eKLR
  • Jackson Kipkoech Togom v Radar Limited
    ELRC Appeal no. E003 of 2023
Jurisdiction invoked
Employment and Labour Relations Court jurisdiction over employment and labour relations causes (Employment Act; Employment and Labour Relations Court Act) - not expressly cited in the judgment

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, "Onyiego v Robinson Investment Limited (Cause 21 of 2016) [2024] KEELRC 2863 (KLR)", Case Analysis (2024). Cause (memorandum of claim dated 29th January 2016). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2024/2863/eng@2024-11-07

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