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ELRCPartially AllowedCause No 349 of 2019· [2025] KEELRC 439 (KLR)

Busienei v Postal Corporation of Kenya (Cause 349 of 2019) [2025] KEELRC 439 (KLR)

Employment and Labour Relations Court
20 February 2025
3,300 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~13 min to read original · ~4 min brief

The bottom line

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Kenya's Employment Court ruled a former Postal Corporation manager was unfairly sacked after his employer ignored a police report that cleared him, awarding him KShs 770,000.

What this practically means

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Executive summary

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The Claimant, an employee of the Respondent since 1990 who had risen to acting Branch Manager 'A' Machakos, sued over the termination of his employment effective 26th July 2018, following the loss of KShs. 1.2 million in an excess remittance from Sultan Hamud Post Office said to have been consumed in a fire. He sought a declaration of breach of Article 41 of the Constitution, twelve months' pay as compensation, one month's notice pay, a certificate of service and general damages. The Respondent maintained that the Claimant, in charge of Machakos Head Post Office, was negligent in failing to secure and mop up the remitted cash. The court framed two issues: whether the termination was fair, and entitlement to reliefs. On procedure, it held the termination complied with section 41 of the Employment Act: the Claimant was notified, heard, and his representations considered. On substance, however, the court found the termination without justification: the Respondent ignored the Directorate of Criminal Investigations report, which it had itself requested and which exonerated the Claimant while implicating other employees, and never produced the internal investigation report it relied upon. The court awarded ten months' gross salary (KShs. 700,000) as compensation under section 49para 1[c] and KShs. 70,000 in lieu of notice, with interest and costs. The declaration of constitutional breach and general damages were refused for failure to plead and prove the violation with reasonable precision. Judgment was entered for the Claimant on 20th February 2025.

Key legal issues

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01

Whether the termination was procedurally fair

Holding

The termination was procedurally fair: the Claimant was notified of the charges, invited to a hearing, attended, and made representations which were considered

Reasoning

The Court applied section 41 of the Employment Act, which mandates notification of reasons, opportunity for representation in the presence of a fellow employee or union representative, and consideration of those representations. The disciplinary notice of 23rd August 2017 set out the accusations and right of accompaniment; the Claimant was invited to a hearing on 3rd November 2017, attended, and made representations which were not discounted. The Respondent thus satisfied the mandatory procedure.

p. 5
02

Whether the termination was substantively justified

Holding

The termination lacked substantive justification and was unfair

Reasoning

Sections 43 and 45para 2 place on the employer the burden of proving valid and fair reasons. The Respondent relied on an internal investigation report it never produced in court. It had referred the matter to the Directorate of Criminal Investigations, whose report exonerated the Claimant and recommended prosecution of other employees, yet the Respondent admitted it did not consider that report when terminating. A reasonable employer could only sustain a negligence charge with cogent evidence discounting the investigators' findings, which the Respondent lacked.

p. 6
03

Whether the Claimant is entitled to compensatory relief and notice pay

Holding

The Claimant was awarded ten months' gross salary (KShs. 700,000) as compensation for unfair termination and one month's salary in lieu of notice (KShs. 70,000)

Reasoning

Section 49para 1[c] confers discretionary compensatory powers. The Court weighed the circumstances: the Claimant suffered for infractions of others, the Respondent's inexplicable failure to consider the DCI report it had itself procured, evidencing ill faith, and the Claimant's 26 years of service. Employment was terminable by notice under section 35; none was issued and salary in lieu was not proved, triggering entitlement under section 36.

p. 7
04

Whether the Respondent's conduct violated Article 41 of the Constitution warranting a declaration and general damages

Holding

The declaration and general damages were refused

Reasoning

A person alleging breach of a constitutional provision must plead it with reasonable precision and sufficiently prove it. The Court found the Claimant's material did not sufficiently demonstrate the breach, and accordingly declined the declaration and the general damages founded on the alleged violation.

p. 7

Legal principles established

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  • An employee alleging unfair termination bears the legal burden under section 47para 5 of the Employment Act to make a prima facie demonstration that procedural fairness or substantive justification was absent, after which the evidential burden shifts to the employer
  • In assessing substantive justification, the court considers all evidential material placed before it, not only the material placed before the employer at the time of the decision
  • An employer who disregards exculpatory investigation findings it itself procured, and fails to tender the internal report relied upon, cannot demonstrate valid and fair reason for dismissal

Court orders

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  1. 1.Judgment entered for the Claimant
  2. 2.Compensation for unfair termination of employment pursuant to section 49[1][c] of the Employment Act of KShs. 700,000
  3. 3.One month's salary in lieu of notice of KShs. 70,000
  4. 4.Interest on the sums awarded at court rates from the date of Judgment till full payment
  5. 5.Costs of the suit to the Claimant

Authorities

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Legislation

  • Constitution of KenyaArticle 41
  • Employment ActSection 41
  • Employment ActSection 43
  • Employment ActSection 45
  • Employment ActSection 45[2]
  • Employment ActSection 47[5]
  • Employment ActSection 49[1][c]
  • Employment ActSection 35
  • Employment ActSection 36

Cases cited (4)

  • Omar Ndaro Zumu v Modern Coast Express
    [2019] eKLR
  • National Bank of Kenya versus Samuel Ngure Mutonya
    [2019] eKLR
  • Pius Macha Isundu vs Lavington Security Guards Limited
    [2017] Eklr
  • Sidumo v Prestburg Platinum Mines
    [2007] 12BLLR 1097
Jurisdiction invoked
Employment and Labour Relations Court jurisdiction under the Employment Act and Article 41 of the Constitution of Kenya

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, "Busienei v Postal Corporation of Kenya (Cause 349 of 2019) [2025] KEELRC 439 (KLR)", Case Analysis (2025). Cause No 349 of 2019. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2025/439/eng@2025-02-20

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