Johnson & 134 others v Mega Garments EPZ Limited (Cause E087 of 2024) [2025] KEELRC 1257 (KLR)
The bottom line
#Kenya's Employment Court dismissed 135 workers' Ksh. 46 million claim, holding that fixed-term contracts end on their own and workers without contracts must prove employment first.
What this practically means
#Executive summary
#Key legal issues
#Unfair termination of claimants with written contracts
Claim fails; the fixed-term contracts ended by expiration of their terms
The court examined sample contracts which had start and end dates and stated wages. Under section 10(3) of the Employment Act, a term contract terminates on its terms without notice or reasons for non-renewal, following Court of Appeal authority. Employment started and ended as agreed, so no unfair termination arose.
Alleged unfair wage deductions
Claim fails; employees were paid for days worked and the contractual rest day entitlement was not breached
Payment statements required under section 20 of the Act showed each contract had a schedule of days at work which were remunerated in full. Section 27 of the Act requires only one rest day per week, and the Saturday hours worked were within the contract. Claiming pay for days not worked would amount to unjust enrichment.
Alleged underpayment below the Wage Orders
Claim fails; the wages paid were above the statutory minimums for the relevant classifications
The court set out the basic minimums under the Wage Orders for general labourers, cutters and mass machinists for May 2017 and May 2018 to April 2022 and compared them with the remuneration in the contracts and pay slips, finding the basic wage paid was above the minimum provided.
Claims by claimants without written contracts
Dismissed; the claimants failed to discharge the evidential burden of proving employment
Section 47 of the Act places the burden of proof on the employee. The employee must first establish a prima facie case before the burden shifts to the employer. Given the respondent's practice of issuing written contracts, claimants without any record of employment were required to file some proof of employment from 2017 to 2020; the two witnesses who testified had no records, and the burden was not discharged.
Legal principles established
#- A fixed-term contract terminates on its own terms at expiry without notice or reasons for non-renewal
- The burden of proof in employment claims starts with the employee, who must raise a prima facie case before the evidential burden shifts to the employer
Court orders
#- 1.The claim is dismissed with costs to the respondent
- Jurisdiction invoked
- Employment and Labour Relations Court jurisdiction under the Employment Act and Employment and Labour Relations Court (Procedure) Rules
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Johnson & 134 others v Mega Garments EPZ Limited (Cause E087 of 2024) [2025] KEELRC 1257 (KLR)", Case Analysis (2025). Not stated in judgment. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2025/1257/eng@2025-05-05
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.