Kenya Union of Domestic, Hotels, Educational Institutions and Hospital Workers v Board of Management, Murera Secondary School (Cause E230 of 2024) [2025] KEELRC 2442 (KLR)
The bottom line
#A Kenyan court ruled that a teacher who resigned is entitled to the same service gratuity as one who retires, but his house allowance claim was too late.
What this practically means
#Executive summary
#Key legal issues
#Entitlement to service gratuity upon resignation where the CBA provides gratuity for retirees
The Court allowed service gratuity of Kshs 408,000/-, holding there should be no differentiation based on mode of separation, relying on the Conciliator's recommendations and clause 20 of the Ministry of Education Guidelines.
The Grievant served for 17 years and his appointment letter incorporated the CBA between the Union and the Ministry of Education. Clause 31 of the CBA provided service gratuity to employees who retire after 10 years' continuous service and attaining 50 years. Clause 20 of the 1996 Guidelines made service gratuity part of employment terms after 5 years' service. The Circular was silent on resignation, and the Respondent did not participate to offer contrary views. The Court held there should be no differentiation on how one separates from the employer, computing gratuity at the basic salary of Kshs 24,000/- for 17 years.
Limitation for continuing injuries in claims for unpaid house allowance
The house allowance claim was time-barred as it was filed outside 12 months from cessation of the continuing injury.
The Court held that unpaid monthly house allowance is a continuing injury. Proceedings must be commenced within 12 months of the cessation of the injury. The Grievant resigned effective 30 September 2022, so limitation expired on 29 September 2023. The claim filed on 25 March 2024 was outside the prescribed time, and the Court could not entertain that head.
Leave allowance under the CBA
Relief declined; the CBA provides no special payment beyond monthly salary.
The Union prayed for leave allowance founded upon an undisclosed clause of the collective bargaining agreement. The Court found the CBA did not provide for any special payment apart from the monthly salary and declined the head of relief.
Leave travelling allowance and commuter allowance under Circulars
Leave travelling allowance of Kshs 9,000/- allowed under Circular DPM/2/BA VOL.III/(165); commuter allowance declined because the relied-upon SRC Circular was not produced.
The Circular on leave directed that public service employees proceeding on annual leave be paid leave allowance according to their grades, and the Court allowed Kshs 9,000/-. On commuter allowance, although a Circular from the Salaries and Remuneration Commission was cited, a copy was not produced in Court, so the claim failed for lack of evidential foundation.
Legal principles established
#- There should be no differentiation in the payment of gratuity, where it is provided for, depending on how an employee separates from the employer.
- Unpaid house allowance constitutes a continuing injury, and proceedings asserting continuing injury should be commenced within 12 months of cessation of the injury.
Court orders
#- 1.Service gratuity of Kshs 408,000/- awarded to the Grievant
- 2.Leave travelling allowance of Kshs 9,000/- awarded to the Grievant
- 3.Total award of Kshs 417,000/- to the Grievant
- 4.All other heads of claims dismissed
- 5.No order on costs due to the social partnership between the parties
- Jurisdiction invoked
- Employment and Labour Relations Court jurisdiction over a trade dispute concerning terminal benefits, including a dispute reported to the Cabinet Secretary, Labour and referred to a Conciliator
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Kenya Union of Domestic, Hotels, Educational Institutions and Hospital Workers v Board of Management, Murera Secondary School (Cause E230 of 2024) [2025] KEELRC 2442 (KLR)", Case Analysis (2025). Cause stated in the judgment as reported to the Cabinet Secretary, Labour; filed 25 March 2024 (number not stated in judgment). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2025/2442/eng@2025-09-18
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.