Kenya Engineering Workers Union v Engineering Supplies Limited (Cause E006 of 2024) [2025] KEELRC 447 (KLR)
The bottom line
#A Kenyan employer cannot terminate a registered collective bargaining agreement by notice alone, but the union still lost most of its new demands for lack of membership evidence.
What this practically means
#Executive summary
#Key legal issues
#Validity of the respondent's unilateral termination of the CBA by notice dated 30 November 2019
The notice was of no legal effect because the CBA, once registered with the court, is binding and enforceable until the Recognition Agreement is revoked by the National Labour Board
Upon registration, Sections 57(1) and 59(5) of the LRA took effect, giving the CBA legal force binding on the parties and employment contracts. Termination of a CBA is regulated in law and cannot be achieved by unilateral notice without first addressing the Recognition Agreement, which remained in force since the revocation process before the National Labour Board was never concluded.
Whether the court should adopt and direct signature of the claimant's proposed CBA
The claim for adoption of the proposed CBA fails because the claimant did not prove its current membership in the respondent's establishment or the employees' current wages for comparative analysis
Although the Recognition Agreement remains in force, recognition rests on the strength of the collective bargaining unit. The last union member, James Kuria, retired in November 2019 and the claimant has not recruited new members; this evidence was not challenged. Without established membership and current wage data, the proposed terms lack an evidential foundation.
Terms to govern the parties pending renegotiation
The existing CBA provisions on wages (12% increases), 30% house allowance, 26 leave days and leave travel allowance of Ksh.5,400 are fair and reasonable and are retained
The court assessed the CBA clauses against statutory minima: the house allowance of 30% is above the 15% legal minimum; the 26 leave days exceed the 21 days minimum under Section 28 of the Employment Act. These provisions are retained and other clauses form the basis for fresh negotiation within 90 days with the County Labour Office's assistance.
Legal principles established
#- Once a trade union has achieved recognition, the parties are bound to engage and negotiate a CBA, and a party to a Recognition Agreement remains bound until the National Labour Board revokes the agreement
- A registered CBA is enforceable and must be implemented until the Recognition Agreement is revoked by the National Labour Board; unilateral notice of termination of the CBA without addressing the Recognition Agreement lacks legal validity
- Recognition may be lost where membership changes and the recognised union no longer holds the simple majority of the unionisable employees
Court orders
#- 1.The Recognition Agreement and CBA in force shall apply until renegotiated by the parties within the next 90 days
- 2.Parties to report to the court on 20 May 2025
- 3.Basic minimum wage retained under clause (3) of the CBA with an increase of 12% of the basic wage
- 4.House allowance retained under clause (5) of the CBA at 30% of the basic wage
- 5.Leave travel allowance retained at Ksh.5,400 under clause (13) of the CBA
- 6.Other clauses as proposed to form the basis of renegotiation
- 7.Each party to bear its costs
- Jurisdiction invoked
- Labour Relations Act, 2007, Sections 54, 57(1), 59(5); Employment Act Section 28; Article 162(2) jurisdiction of the ELRC (first-instance industrial dispute over CBA review)
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Kenya Engineering Workers Union v Engineering Supplies Limited (Cause E006 of 2024) [2025] KEELRC 447 (KLR)", Case Analysis (2025). Not stated in the judgment. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2025/447/eng@2025-02-20
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.