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ELRCPartially AllowedEmployment and Labour Relations Cause (Memorandum of Claim dated 20th June, 2018)· [2025] KEELRC 1795 (KLR)

Mugutha v Gitau alias Veronica Wairimu Van Helden & another (Cause 1001 of 2018) [2025] KEELRC 1795 (KLR)

Employment and Labour Relations Court
19 June 2025
2,783 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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A Kenyan court ruled a long-serving caretaker was indeed an employee, awarding him three years' salary, holiday and leave pay despite the employer's denial.

What this practically means

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Executive summary

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The Claimant sued the Respondents, a divorced couple, alleging he was employed by them as a caretaker from 1982, recalled in 1997 on a monthly salary of Kshs. 16,320/= of which Kshs. 10,000/= was to be saved until April 2005, and that they stopped paying his salary in April 2005. He sought unpaid salary, the saved sums, payment for holidays worked and unpaid leave days, totalling an aggregate of Kshs. 3,710,088/=. The 1st Respondent denied employing the Claimant, asserting the 2nd Respondent was his employer, that she was a housewife without income, and that the Claimant now occupies the parties' jointly-owned Ngong property, has built stalls on it and collects rent. The 2nd Respondent did not defend the suit. The Court framed two issues: whether an employer-employee relationship existed, and whether the Claimant was entitled to the reliefs sought. Applying the Ready-Mix Concrete test as adopted in Anthony Njuguna v Afri-Cina and the factors in Obonyo v Britam, the Court found an employment relationship with both Respondents established on a balance of probability, relying on the 1st Respondent's admission that the Claimant cared for the Ngong house and her letter of 13th July 2015 leaving the property in his care. The savings claim was dismissed for want of evidence, and the Court found it unconvincing that the Claimant worked unpaid for some 20 years without demanding payment, restricting the salary award to three years. Holidays worked and leave days were awarded as prayed since the Respondents did not prove payment. The claim partly succeeded: the Respondents, jointly and severally, were ordered to pay 3 years' salary of Kshs. 587,520/-, holidays worked of Kshs. 125,664/- and leave days of Kshs. 137,088/-, with costs to the Claimant.

Key legal issues

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01

Existence of an employer-employee relationship

Holding

An employer-employee relationship was established on a balance of probability between the Claimant and both Respondents, based on the 1st Respondent's admission that the Claimant cared for their Ngong house and her 2015 letter placing the house in his care

Reasoning

The Court applied the Ready-Mix Concrete three-part test (work and skill for remuneration, control, consistency with a contract of service) as adopted in Anthony Njuguna v Afri-Cina, and the multi-factor test in Obonyo v Britam. The 1st Respondent's own evidence - that the Claimant received her by opening the gate in July 2015 and continued to care for the jointly-owned property - together with her letter of 13th July 2015, established the relationship notwithstanding her denial of being the employer.

p. 5
02

Entitlement to the reliefs sought

Holding

The savings claim of Kshs. 1,000,000/= was dismissed for lack of evidence; salary was awarded only for 3 years rather than the full period since 2005; holidays worked and leave days were awarded as prayed

Reasoning

The Claimant proved employment but not the alleged savings arrangement of Kshs. 10,000/= per month. The Court found it unconvincing that he worked unpaid for 20 years without any demand for payment, and restricted salary to 3 years. Because the Respondents did not show that salaries were paid, unpaid holidays and leave entitlement were allowed as prayed. The 2nd Respondent did not defend the suit and the evidence against him was uncontroverted; both Respondents were held jointly and severally liable.

p. 6

Legal principles established

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  • A contract of service exists where three conditions are fulfilled: provision of own work and skill for remuneration, sufficient degree of control by the master, and other provisions consistent with a contract of service
  • An employer-employee relationship may be inferred from conduct, including leaving property in the care and responsibility of the claimant

Court orders

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  1. 1.A declaration that the Claimant is an employee of the Respondents
  2. 2.The Respondents jointly and severally to pay the Claimant 3 years' salary at Kshs. 587,520/-
  3. 3.The Claimant to be paid for holidays worked at Kshs. 125,664/-
  4. 4.An order for payment on account of leave days Kshs. 137,088/-
  5. 5.The Respondents shall bear the costs of this suit

Authorities

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Legislation

  • Employment ActSection 2
  • Civil Procedure ActSection 27

Cases cited (7)

  • Korir vs Mosonik
    (Employer and Labour Relations Cause No. 006 of 2023) [2024] KEELRC 2051 (KLR) (31st July 2024)
  • Casmir Nyankuru Nyaberi vs Mwakikar Agencies Limited
    (2016) eKLR
  • Christine Adot Lopeyio vs Wyclifie Mwathi Pere
    [2013] eKLR
  • Cecilia Karuru Ngayu vs Barclays Bank of Kenya and Anor
    (2014) eKLR
  • Anthony Njuguna v Afri-Cina International Co. Limited & Another
    (2022) KLR
  • Ready-Mix Concrete (South East) Ltd v Minister of Pensions and National Insurance
    1968 2 QB
  • Obonyo v Britam Life Assurance Co (K) Ltd
    (2023) eKLR
Jurisdiction invoked
Employment and Labour Relations Court jurisdiction under the Employment Act, 2007 (employer-employee dispute)

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, "Mugutha v Gitau alias Veronica Wairimu Van Helden & another (Cause 1001 of 2018) [2025] KEELRC 1795 (KLR)", Case Analysis (2025). Employment and Labour Relations Cause (Memorandum of Claim dated 20th June, 2018). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2025/1795/eng@2025-06-19

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