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Case Brief · caselaw.co.ke
ELRCDismissedNot stated in judgment (Motion dated 23 January 2025 in a Memorandum of Claim filed 28 January 2025)· [2025] KEELRC 1701 (KLR)

Public Transport Operations Union v Union Logistics Limited & another (Cause E047 of 2025) [2025] KEELRC 1701 (KLR)

Employment and Labour Relations Court
12 June 2025
1,067 words in judgment
View original judgmentRead on Kenya Law Watch case
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·~4 min to read original · ~4 min brief

The bottom line

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A Kenyan court confirmed employers can report workplace theft to police while running internal investigations, and unions must try statutory dispute resolution before rushing to court.

What this practically means

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Executive summary

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The Public Transport Operators Union sued Union Logistics Ltd (1st Respondent) and the Kenya National Police Service Commission (2nd Respondent), alleging violation of registered recognition and collective bargaining agreements and interference with employees' freedom of association. Together with its Memorandum of Claim filed on 28 January 2025, the Union moved the Court under a Motion dated 23 January 2025 seeking maintenance of status quo, reinstatement of suspended workers, a prohibition against victimisation of union members, a declaration that the 1st Respondent violated clause 18 of Collective Agreement RCA E385 of 2023, and directions that consultative meetings proceed under a Court-annexed mediation arrangement. The dispute arose from the discovery of a stock discrepancy of Kshs 2,258,215/- at the 1st Respondent's customs bonded warehouse at JKIA, a theft report made to the Police on 6 January 2025, and the suspension of suspected employees. The 1st Respondent countered that police and internal investigations could lawfully run in parallel, that clause 18 of the CBA provided for suspension, and that there was no evidence of victimisation. The 2nd Respondent denied any legal nexus to the dispute. The Court held that the Police's investigative mandate cannot be waived or ousted, that criminal and internal investigations may run in parallel, that the suspensions did not breach the CBA, and that the Union had not exhausted the statutory ADR avenues in Part VIII of the Labour Relations Act before moving the Court. The Motion was found without merit and dismissed with costs on 12 June 2025.

Key legal issues

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01

Parallel criminal and internal investigations

Holding

There is no bar to an employer reporting a theft to the Police while conducting internal investigations for disciplinary action; this does not violate the CBA

Reasoning

The Court found that the Union and the 1st Respondent had a recognition agreement and CBA, but reporting a theft incident to the Police did not oust or circumvent internal dispute resolution. The Police's statutory investigative mandate could not be waived by private agreement, and the Union failed to show the parallel processes were incompatible or breached clause 18 of the CBA.

p. 3
02

Suspension of suspected employees under the CBA

Holding

The suspension of employees suspected of involvement in the theft did not breach the Collective Bargaining Agreement or any known legal principle

Reasoning

Clause 18 of the CBA provided for suspension of employees. The Respondent deponed that suspensions were with notice to the Union, necessitated by a stock discrepancy of Kshs 2,258,215/-, and some employees' contracts had expired or they had resigned. The Union adduced nothing to show the suspensions were wrongful.

p. 3
03

Exhaustion of statutory alternative dispute resolution mechanisms

Holding

The Union's claim was premature as it had not attempted the dispute resolution avenues in Part VIII of the Labour Relations Act

Reasoning

The Court held that the Union moved the Court before attempting to comply with the statutory alternative dispute resolution avenues outlined in Part VIII of the Labour Relations Act. The consultative meetings contemplated under the CBA had not been pursued, so the Court declined to grant the interlocutory reliefs sought.

p. 3
04

Freedom of association and alleged intimidation

Holding

The Union failed to demonstrate that the 1st Respondent threatened or intimidated employees for participating in union activities

Reasoning

The 1st Respondent deponed that there was no evidence of threats or victimisation and that some employees had voluntarily withdrawn from the Union. The Union, which bore the burden of proof on its allegations, did not controvert this evidence. The claim of interference with freedom of association therefore failed at the interlocutory stage.

p. 3
05

Liability of the National Police Service Commission

Holding

No wrongful act or legal injury was shown against the 2nd Respondent

Reasoning

The 2nd Respondent contended it had no contractual relationship with the Union, no criminal investigative or police powers, and that no legal nexus had been established between it and the dispute. The Court agreed that the Union had not shown any wrongful act or legal injury occasioned by the National Police Service Commission.

p. 3

Legal principles established

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  • Criminal investigations by the Police may lawfully run parallel to an employer's internal investigations and disciplinary processes
  • Parties may not generally waive or oust the jurisdiction of the Police in the performance of its investigative mandate
  • A party must attempt the statutory alternative dispute resolution avenues in Part VIII of the Labour Relations Act before approaching the Court

Court orders

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  1. 1.The Motion dated 23 January 2025 is found without merit and is dismissed with costs
Jurisdiction invoked
Employment and Labour Relations Court jurisdiction under the Labour Relations Act and Employment Act (not expressly cited in the judgment; jurisdiction not discussed)

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, "Public Transport Operations Union v Union Logistics Limited & another (Cause E047 of 2025) [2025] KEELRC 1701 (KLR)", Case Analysis (2025). Not stated in judgment (Motion dated 23 January 2025 in a Memorandum of Claim filed 28 January 2025). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2025/1701/eng@2025-06-12

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