Kenya Union of Commercial and Food Allied Workers v R.B Shah Kenya Limited (Employment and Labour Relations Cause E018 of 2023) [2025] KEELRC 1526 (KLR)
The bottom line
#A Kenyan court awarded a worker about Kshs. 436,000 because his employer denied employing him, yet its own documents proved the relationship and an unfair, process-free dismissal.
What this practically means
#Executive summary
#Key legal issues
#Existence of an employment relationship despite denial
The court found an employment relationship existed, established through the Respondent's own documents and witness statement
The Respondent denied employing the Grievant, but its own pleaded letter from its security firm referred to the Grievant as an employee who had been pardoned after an attempted theft. Further, the Respondent's director's witness statement described the Grievant as a casual labourer who stole on 7th December 2021 and absconded. These admissions contradicted the denial and established the relationship.
Unfairness of the termination
The termination was unlawful and unfair as no disciplinary process was followed
The court found the Grievant's employment ended on 7th December 2021 when the director sent him home, with no notice, hearing or disciplinary process. Sections 35, 41, 43 and 45 of the Employment Act had been invoked; the court grounded the unlawfulness in section 45(2), which presumes unfairness where the employer fails to prove valid and fair reasons and fair procedure.
Entitlement to service pay
Service pay awarded at 15 days per year worked over approximately 25 years, totalling Kshs. 210,000
The Grievant worked from 1996 to 2021 and there was no evidence the Respondent remitted NSSF contributions on his behalf. Under section 35(5) of the Employment Act, employees not enrolled in a pension or NSSF scheme are entitled to service pay on termination, which the court computed at 15 days' salary per year worked.
Proof of overtime and public holiday claims
Overtime and public holiday claims declined for want of proof
The party asserting a claim bears the burden of proving it. The Claimant adduced no evidence that the Grievant worked overtime hours or on public holidays, so those heads of claim failed notwithstanding the finding of unfair termination.
Legal principles established
#- Termination of employment without subjecting the employee to any disciplinary process is unlawful under section 45(2) of the Employment Act
- Where an employer does not remit NSSF contributions, the employee is entitled to service pay under section 35(5) of the Employment Act
- A party's own documents may contradict a denial of an employment relationship and establish that relationship
Court orders
#- 1.Service pay of Kshs. 210,000 (15 days per year worked, computed as 24x8750)
- 2.One year's annual leave of 21 days at Kshs. 12,250
- 3.Salary for 7 days worked in December 2021 at Kshs. 4,081
- 4.Maximum compensation for unfair termination of Kshs. 210,000
- 5.Respondent to pay Claimant's costs assessed at Kshs. 50,000
- 6.Certificate of Service (implied by claim; judgment does not expressly order it)
- Jurisdiction invoked
- Dispute reported to and unresolved through the Ministry of Labour conciliation under the Labour Relations Act; referred to the Employment and Labour Relations Court
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Kenya Union of Commercial and Food Allied Workers v R.B Shah Kenya Limited (Employment and Labour Relations Cause E018 of 2023) [2025] KEELRC 1526 (KLR)", Case Analysis (2025). Statement of Claim dated 11th January, 2023 (Employment and Labour Relations Court claim). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2025/1526/eng@2025-05-22
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.