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ELRCPartially AllowedEldoret Employment and Labour Relations Court Appeal (Memorandum of Appeal dated 31st August 2021)· [2025] KEELRC 433 (KLR)

Mwangi Kenyanya v Great Rift Express Shuttle Services (Employment and Labour Relations Appeal E010 of 2021) [2025] KEELRC 433 (KLR)

Employment and Labour Relations Court
13 February 2025
3,570 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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An Eldoret court confirmed the car cleaner was an employee, but his unfair termination claim failed because he could not prove how or by whom he was dismissed.

What this practically means

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Executive summary

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The Appellant, who had been the Claimant in Eldoret CMELRC No. 30 of 2019, appealed against the dismissal of his claim for terminal dues arising from the alleged unfair and unlawful termination of his employment as a car cleaner from June 2014 to 12th July 2018. The trial court had found he was an independent contractor. On appeal, the court re-evaluated the evidence as required on a first appeal, citing Selle v Associated Motor Boat Company. Framing three issues - the nature of the engagement, whether termination was unfair, and entitlement to reliefs - the court held that the Appellant was an employee of the Respondent within the meaning of section 2 of the Employment Act, reasoning that the Respondent's own witness confirmed he worked daily and was paid a commission daily for work done. However, applying section 47(5) of the Employment Act, the court held the Appellant failed to discharge the initial burden of proving unfair termination, since he did not explain who terminated his employment or how it occurred. Consequently, the declaration of unfair termination, notice pay, 12 months' compensation and aggravated damages were refused, as were claims for public holiday dues, overtime, housing allowance, severance, rest days and paternity leave for want of proof or inapplicability. The court allowed the appeal only in part: it set aside the trial court's judgment, declared the Appellant an employee, awarded leave dues of Kshs. 48,461.50 (21 days for 4 years) and ordered issuance of a Certificate of Service, with the Respondent to bear 50% of the costs of the appeal.

Key legal issues

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01

Whether the Appellant was an employee or an independent contractor

Holding

The Appellant was an employee of the Respondent within the meaning of section 2 of the Employment Act.

Reasoning

The court adopted the Shena Security test that payment by way of commission indicates a contract for service. The Respondent's witness testified the Appellant worked daily and was paid a commission daily for work done, which the court found indicative that the Appellant was an employee within section 2 of the Employment Act.

p. 6
02

Whether the Appellant's employment was unfairly terminated

Holding

The Appellant failed to prove unfair termination under section 47(5) of the Employment Act.

Reasoning

The Appellant did not explain the circumstances of the termination, who terminated the employment or how it occurred. Under section 47(5), the employee bears the initial burden of proving unfair termination before the burden shifts to the employer. The Respondent's position was that the Claimant simply vanished and his employment was never terminated.

p. 7
03

Whether the Appellant is entitled to the reliefs sought

Holding

Only leave pay in lieu for 4 years at 21 days per year (Kshs. 48,461.50) and a certificate of service were awarded; all other heads failed for lack of proof or inapplicability.

Reasoning

Having found no unfair termination was proved, the declaration, notice pay, compensation and aggravated damages were refused. Public holiday, overtime, rest days and paternity leave claims failed on evidence; housing allowance was held paid on a consolidated basis; severance was inapplicable absent redundancy.

p. 7

Legal principles established

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  • Where payments are made by way of commission on work done on a daily basis, this indicates a contract of service rather than a contract for service.
  • It is the burden of the employee to first prove that unfair termination or wrongful dismissal occurred before the burden shifts to the employer to justify the termination.
  • On a first appeal, the court must re-evaluate the evidence and draw its own conclusions, bearing in mind it did not see or hear the witnesses.

Court orders

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  1. 1.A declaration that the Appellant was an employee of the Respondent
  2. 2.Leave dues of Kshs. 48,461.50 awarded to the Appellant
  3. 3.The Respondent is directed to issue the Appellant with a Certificate of Service
  4. 4.The Judgment of the Trial Court is set aside in its entirety and substituted with the above orders
  5. 5.The Respondent shall bear 50% of the Appellant's costs of the Appeal

Authorities

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Legislation

  • Employment ActSection 2 (definition of employee and contract of service)
  • Employment ActSections 36, 41(1), 44(4), 45(2), 43, 37, 47(5)

Cases cited (7)

  • Selle & Another v Associated Motor Boat Company Ltd & Others
    [1968] EA 123
  • Krystalline Salt Limited v Kwekwe vs. Benson Mwiti NTIRITU & 4 Others
    (2018) eKLR
  • Casmir Nyankuru Nyaberi v Mwakikar Agencies Limited
    [2016] eKLR
  • George Kamau Ndiritu & another v Intercontinental Hotel
    [2015] eKLR
  • Ongola v And Beyond Kenya Ltd
    (Civil Appeal E308 of 2021) [2023] KECA 93 (KLR) (3 February 2023)
  • Maurice Oduor Okech v Chegquered Flag Limited
    [2013] eKLR
  • Shena Security Co Ltd v Afropak (Nig.) Ltd & 2 Others
    [2008] 18 NWLR
On appeal from
Eldoret Chief Magistrate's Court (ELRC No. 30 of 2019)
Eldoret CMELRC No. 30 of 2019
Jurisdiction invoked
First appeal from the subordinate court in an employment dispute (Employment and Labour Relations Court appellate jurisdiction)

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, "Mwangi Kenyanya v Great Rift Express Shuttle Services (Employment and Labour Relations Appeal E010 of 2021) [2025] KEELRC 433 (KLR)", Case Analysis (2025). Eldoret Employment and Labour Relations Court Appeal (Memorandum of Appeal dated 31st August 2021). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2025/433/eng@2025-02-13

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