Chege v Africa Star Railway Operations Company Ltd (Employment and Labour Relations Appeal E087 of 2023) [2025] KEELRC 623 (KLR)
The bottom line
#Kenya's Employment Court dismissed a worker's constructive dismissal appeal, holding he voluntarily signed a COVID-era contract that reduced his pay.
What this practically means
#Executive summary
#Key legal issues
#Whether the trial court erred in finding there was no constructive dismissal
No error; the appellant did not prove constructive dismissal
The court re-evaluated the evidence under Selle v Associated Motor Boat Co and Mbogo v Shah. The appellant signed the new contract voluntarily and knew it was optional. Under clause 20 of the new contract, the employer could either place the employee on unpaid leave after the third month or end employment via redundancy procedures; instead the respondent continued paying the reduced third-month salary, the more advantageous option for the employee. The claim of discriminatory recall was unchallenged by specific reply. Applying the contractual test from Coca-Cola v Lugaga, no repudiatory breach was established and no causal link justified the resignation.
Whether the trial court erred in failing to grant the reliefs claimed
No error; all reliefs were properly disallowed
Having upheld the finding of no constructive dismissal, the only outstanding issue was the salary difference claim. Clause 20(5) of the contract of 20th May 2020 expressly provided that remuneration differences arising during force majeure would not be compensated when business resumed. The appellant voluntarily bound himself to this clause. The court therefore upheld the trial court's disallowance of all reliefs, including terminal benefits and general damages.
Legal principles established
#- On first appeal, the appellate court reconsiders and re-evaluates the evidence and draws its own conclusions, while making allowance for having neither seen nor heard the witnesses
- An appellate court will not interfere with the exercise of discretion by an inferior court unless the decision is clearly wrong - misdirection, acting on wrong matters, or failure to consider relevant matters
- Constructive dismissal is determined by the contractual test - the employer's conduct must amount to a repudiatory breach of the contract of employment, proved objectively, with a causal link to the resignation, and the burden of proof lies on the employee
Court orders
#- 1.The appeal is dismissed
- 2.The Judgment and Decree of the Honourable S.A Opande (PM) delivered at Nairobi on the 12th May, 2023 in Nairobi CMEL No. E858 of 2020 is upheld
- 3.No order as to costs in the appeal
- On appeal from
- Chief Magistrate's Court, Nairobi (Employment and Labour Relations)
- Nairobi CMEL No. 858 of 2020
- Jurisdiction invoked
- First appellate jurisdiction over the trial magistrate's court (Employment and Labour Relations Court Act framework; appeal from Nairobi CMEL No. 858 of 2020)
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Chege v Africa Star Railway Operations Company Ltd (Employment and Labour Relations Appeal E087 of 2023) [2025] KEELRC 623 (KLR)", Case Analysis (2025). Nairobi ELRC Appeal arising from Nairobi CMEL No. 858 of 2020. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2025/623/eng@2025-02-28
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.