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ELRCDismissedAppeal filed by Memorandum of Appeal dated 25th April, 2024 against Nairobi CMELRC No. E818 of 2020· [2025] KEELRC 1361 (KLR)

Structural Construction International Limited v Muleka (Employment and Labour Relations Appeal E120 of 2024) [2025] KEELRC 1361 (KLR)

Employment and Labour Relations Court
9 May 2025
4,335 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~17 min to read original · ~4 min brief

The bottom line

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A Kenyan employer lost its appeal because it could not prove an employee absconded, having skipped every required fairness step before termination.

What this practically means

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Executive summary

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This is a first appeal to the Employment and Labour Relations Court at Nairobi (J.W. Keli, J) against the judgment of Honourable Rawlings Liluma Musiega (SRM) delivered on 16th February 2024 in Nairobi CMELRC No. E818 of 2020. The respondent, employed as a construction operator from 9th December 2013, was issued a termination notice on 19th November 2018 on alleged misconduct, but continued working until 9th February 2019 when the appellant's Director allegedly told him his services were no longer needed. The appellant contended the respondent absconded duty. The trial court found the termination substantively and procedurally unfair, dismissed the appellant's counterclaim, and awarded notice pay of Kshs. 28,000/-, compensation equivalent to nine months' pay (Kshs. 252,000/-), a certificate of service, costs and interest. The appellant's eight-ground appeal attacked the findings on summary dismissal, abscondment, procedural fairness and the reliefs. Guided by Selle v Associated Motor Boat Co. and Mbogo v Shah, the court re-evaluated the evidence and upheld the trial court's findings: the November 2018 notice was waived by conduct, no notice to show cause or disciplinary hearing was ever issued, and the employer failed to prove efforts to reach the allegedly absconding employee as required by section 41 of the Employment Act, following Felistas Acheha Ikatwa v Charles Peter Otieno. Notice pay was due under section 35 and the nine months' compensation was a judicious exercise of discretion. The appeal was dismissed with costs to the respondent and the trial court's judgment upheld in its entirety.

Key legal issues

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01

Whether the Respondent's employment was unfairly terminated

Holding

Yes - the trial court's finding of unfair (substantively and procedurally) termination was upheld; the alleged abscondment was not proved and no disciplinary process or notice to show cause was issued.

Reasoning

The trial court found the abscondment allegation unsupported: there was no notice to show cause, no disciplinary hearing, and the appellant allowed the respondent to continue working after the 19th November 2018 termination notice, which waived it. RW admitted there was no disciplinary hearing. The employer failed to comply with section 41 of the Employment Act in proving abscondment, so the termination was unfair both substantively and procedurally.

p. 7
02

Whether the trial court erred in the reliefs granted (notice pay and 9 months' compensation)

Holding

No - notice pay was due under section 35 given lack of procedural fairness, and the 9 months' compensation was a judicious exercise of discretion; no basis to interfere.

Reasoning

The appeal on reliefs hinged on the finding of unfair termination, which was upheld. Notice pay was due under section 35 of the Employment Act. On the 9 months' compensation, the trial court considered the manner of termination, the respondent's 4 years of service, travel between sites, and his importance to the appellant. Applying Mbogo v Shah, the appellate court found no basis to interfere with the discretion exercised.

p. 8
03

Burden of proof under section 47(5) of the Employment Act

Holding

The claimant laid sufficient basis for the claim of termination, which elicited an informed response from the employer; the employer then bore the burden of justifying the termination and failed.

Reasoning

The appellant argued the respondent never discharged the initial burden of proving summary dismissal. The court found the claimant had laid sufficient basis for the claim of termination of employment, which elicited an informed response from the employer under section 47(5). The employer's evidence, including the admitted termination notice and Director's testimony, established termination; the employer's abscondment defence was unproved.

p. 7

Legal principles established

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  • An employer alleging that an employee deserted or absconded duty must demonstrate efforts made towards getting the employee to resume duty, and at the very least must issue a notice that termination on the grounds of desertion is being considered.
  • An appellate court will not interfere with a trial court's exercise of discretion unless it is satisfied the decision is clearly wrong, having misdirected itself, acted on wrong matters, or failed to consider relevant matters.
  • A first appellate court must reconsider and evaluate the evidence itself and draw its own conclusions while making due allowance for not having seen or heard the witnesses.

Court orders

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  1. 1.The appeal is dismissed with costs to the respondent
  2. 2.The entire judgment of Honourable Rawlings Liluma Musiega (SRM) delivered in Nairobi on the 16th February, 2024 in Nairobi CMELRC No. E818 of 2020 is upheld

Authorities

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Legislation

  • Employment ActSection 42(1)
  • Employment Act 2007Section 44(1)
  • Employment ActSection 47(5)
  • Employment ActSection 43
  • Employment ActSection 47
  • Employment ActSection 41
  • Employment ActSection 49
  • Employment ActSection 36
  • Employment ActSection 35
  • Evidence ActSection 109
  • Evidence ActSection 112

Cases cited (12)

  • Selle v Associated Motor Boat Co. Ltd
    [1968] EA 123
  • Mbogo v Shah
    [1968] EA 93
  • Pius Machafu Isindu v Lavington Security Guards Limited
    [2017] eKLR
  • Orero v Prime Steel Mills Ltd
    (Cause 1190 of 2015) [2022] KEELRC 3987 (KLR)
  • Felistas Acheha Ikatwa v Charles Peter Otieno
    (2018) eKLR
  • Boniface Mwangi v B.O.M Iyego Secondary School
    (2019) eKLR
  • Simon Mbithi Mbane v Inter Security Services Ltd
    (2018) eKLR
  • Nzioka v Smart Coatings Ltd
    (2017) eKLR
  • Judith Otieno Owuor v Sameer Agriculture and Livestock Ltd
    (2020) eKLR
  • Mrao Ltd v First American Bank of Kenya Ltd & 2 others
    [2003] eKLR
  • Kenfreight (E.A.) Limited v Benson K. Nguti
    [2016] eKLR
  • Kenfreight (E.A) Limited v Benson K. Nguti
    Supreme Court Petition 37 of 2018; [2019] eKLR
On appeal from
Chief Magistrate's Court (Employment and Labour Relations), Nairobi
Nairobi CMELRC No. E818 of 2020
Jurisdiction invoked
First appellate jurisdiction over the subordinate court (Employment and Labour Relations Court), pursuant to the Memorandum of Appeal dated 25th April, 2024 (statutory provision not expressly cited)

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, "Structural Construction International Limited v Muleka (Employment and Labour Relations Appeal E120 of 2024) [2025] KEELRC 1361 (KLR)", Case Analysis (2025). Appeal filed by Memorandum of Appeal dated 25th April, 2024 against Nairobi CMELRC No. E818 of 2020. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2025/1361/eng@2025-05-09

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