Skip to content
AI-generated case briefs sourced from Kenya Law · Not legal advice
AI-generated case brief
Case Brief · caselaw.co.ke
ELRCPartially AllowedAppeal No E060 of 2023· [2025] KEELRC 130 (KLR)

Omune v Ray Store Limited (Appeal E060 of 2023) [2025] KEELRC 130 (KLR)

Employment and Labour Relations Court
29 January 2025
1,942 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~8 min to read original · ~4 min brief

The bottom line

#

Kenya's Employment Court more than doubled an unfairly dismissed driver's award to Kshs.156,000, ruling employers must prove desertion and pay house allowance even if unpleaded.

What this practically means

#

Executive summary

#
This is a first appeal to the Employment and Labour Relations Court at Kisumu against the judgment of Principal Magistrate J Wesonga delivered on 6th October, 2023, which found the termination of a driver's employment unfair and awarded him Kshs.75,000.00 with interest, while dismissing the employer's counter-claim. The appellant (employee) challenged the failure to award overtime, house allowance and leave allowance. The court, per Dr. Jacob Gakeri J, applied the Selle v Motor Boat Co. Ltd principles that a first appeal is a retrial. On termination, it found the respondent adduced no evidence of reasonable steps to secure the employee's return or of any disciplinary process for alleged desertion, and held the separation unfair for want of procedural propriety, upholding the compensation award. On remuneration, it held Article 41 guarantees reasonable, not 'proper', remuneration. On house allowance, the respondent having proved neither provision of housing nor payment of allowance nor consolidation of salary, the court awarded 15% of salary for three years under Sections 31 and 89 of the Employment Act, Kshs.81,000.00, holding that failure to plead the exact amount cannot defeat a statutory right. The overtime and leave allowance claims failed for want of specific evidence and pleading, and the trial court's findings on those heads were upheld. The appeal was partially successful: the award was substituted with Kshs.156,000.00, with each party bearing its own costs of the appeal.

Key legal issues

#
01

Fairness of termination on alleged desertion

Holding

Termination was unfair for want of procedural propriety; employer failed to prove desertion or accord a fair disciplinary process

Reasoning

The court found two irreconcilable versions of the 17th August 2022 events and inferred a single encounter between the appellant and Mr. Patel. The respondent adduced no evidence of reasonable steps to have the appellant resume duty or any disciplinary process for alleged desertion. Relying on authority, the court held the employer bore the duty to demonstrate such steps and a notice to show cause, and found the separation procedurally unfair.

p. 3
02

House allowance under Section 31 of the Employment Act

Holding

The appellant was entitled to house allowance at 15% for three years (Kshs.81,000.00)

Reasoning

Section 31 of the Employment Act places the obligation to provide housing on the employer. The respondent adduced no evidence that it provided housing, paid a housing allowance, or that the salary was consolidated. Non-pleading of the precise amount could not defeat the statutory right, and 15% of salary was adopted as a reasonable measure for three years by virtue of Section 89 of the Employment Act.

p. 4
03

Overtime

Holding

Claim for overtime dismissed for want of evidence; trial court's finding upheld

Reasoning

The appellant led no evidence that employees signed in and out, which would have obliged the respondent to produce attendance registers. His witness statement made no reference to reporting and exit times, and on cross-examination he confirmed reporting between 7:30 and 8:00am but did not testify as to when he exited the workplace. In the absence of supportive evidence, the claim was unsustainable.

p. 4
04

Leave allowance

Holding

Claim for unpaid leave allowance dismissed; it is a contractual term that must be specifically pleaded and strictly proved

Reasoning

The appellant prayed for unpaid leave allowance for 8 years but did not specify his leave entitlement or the amount claimed. The court held that leave allowance is a contractual term, not a statutory entitlement, is certain and paid annually; as a species of special damages it must be specifically pleaded and strictly proved, and the trial court's finding was upheld.

p. 4
05

Right to 'proper remuneration'

Holding

Article 41 guarantees reasonable, not 'proper', remuneration; no finding of underpayment was assailed

Reasoning

The appellant's ground on remuneration was misconceived because Article 41 of the Constitution encompasses the right to reasonable remuneration rather than 'proper remuneration'. Further, the appellant did not plead that he was underpaid or that his salary was not paid consistently for services rendered, so the ground failed.

p. 3

Legal principles established

#
  • An employer alleging desertion must demonstrate the reasonable attempts it made to contact the employee and/or that a notice to show cause was dispatched
  • Failure to plead the exact amount due does not defeat a statutory entitlement such as house allowance under Section 31 of the Employment Act
  • 15% of salary is a reasonable percentage for computing house allowance where none was paid

Court orders

#
  1. 1.The appeal is partially successful
  2. 2.The sum of Kshs.75,000.00 awarded by the trial court is interfered with and substituted with a sum of Kshs.156,000.00
  3. 3.Each party shall bear their own costs in this appeal

Authorities

#

Legislation

  • Employment ActSection 31(1)
  • Employment ActSection 10(9)
  • Employment ActSection 74
  • Employment ActSection 27(2)
  • Employment ActSection 41
  • Employment ActSection 89
  • Constitution of KenyaArticle 41
  • Constitution of KenyaArticle 159(2)(d)
  • Constitution of KenyaArticle 48
  • Civil Procedure Act (Chapter 21, Laws of Kenya)Section 1B
  • Civil Procedure RulesOrder 21 Rule 1

Cases cited (9)

  • David Joseph Wanyonyi V Kenya Nut Co. Ltd
    [2018] eKLR
  • James Muriithi Ireri V Njuca Consolidated Co.
    [2021] eKLR
  • Selle and Another V Motor Boat Co. Ltd
    [1968] EA 123
  • Simon Mbithi Mbane V Inter Security Services Ltd
    [2018] eKLR
  • Joseph Nzioka V Small Coatings Ltd
    [2017] eKLR
  • Felistas Acheha Ikatwa V Charles Peter Otieno
    [2018] eKLR
  • Richard Kiplimo Koech V Yako Supermarket Ltd
    [2015] eKLR
  • Judith Atieno Owuor V Sameer Agriculture & Livestock Ltd
    [2020] eKLR
  • Grain Pro Kenya Inc. Ltd V Andrew Waithaka Kiragu
    [2019] eKLR
On appeal from
Principal Magistrate's Court
not stated in judgment
Jurisdiction invoked
First appellate jurisdiction of the Employment and Labour Relations Court over the trial magistrate's judgment (no specific provision cited)

Key timeline

#

Practical implications

#

Frequently asked questions

#

Cite this brief

#

Cite this brief

Caselaw, "Omune v Ray Store Limited (Appeal E060 of 2023) [2025] KEELRC 130 (KLR)", Case Analysis (2025). Appeal No E060 of 2023. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2025/130/eng@2025-01-29

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