Chepkemboi v East African Portland Cement PLC (Cause 457 of 2021) [2025] KEELRC 2947 (KLR)
The bottom line
#A Kenyan employment court awarded an employee full contractual gratuity of Kshs.723,540 and dismissed the employer's unproven counterclaim.
What this practically means
#Executive summary
#Key legal issues
#Whether the claimant was entitled to gratuity under the contract
Gratuity awarded at 31% of consolidated monthly salary for the contract period October 2019 to October 2020, totalling Kshs.723,540.00
The letter of 23.10.2019 provided for gratuity in clause 14 at 31% of the consolidated monthly salary for each year served. The claimant served from 24.10.2019 until termination in October 2020 on a gross salary of Kshs.194,500.00. The court computed 194,500 x 12 x 31% = Kshs.723,540.00, noting the respondent's admission of the period but its erroneous calculation of only one month, which was outside the contractual provisions.
Whether the respondent's counterclaim was proved
Counterclaim dismissed for failure to plead particulars and strictly prove the special damages claimed
The counterclaims (rent, electricity bills and value of cement) were in the nature of special damages requiring specific pleading with particulars and strict proof. The respondent did not plead particulars of the allocated house, the cement transactions or the electricity bills. No evidence showed continued occupation of the house after termination. The parties had attempted to have the court reconcile accounts without witnesses or elaborate pleadings, which was improper.
Legal principles established
#- Special damages must be specifically pleaded with due particulars and then strictly proved
Court orders
#- 1.The counterclaim is dismissed
- 2.The respondent to pay the claimant gratuity of Kshs.723,540.00
- Jurisdiction invoked
- Employment and Labour Relations Court jurisdiction over employment claim and counterclaim (provision not stated in judgment)
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Chepkemboi v East African Portland Cement PLC (Cause 457 of 2021) [2025] KEELRC 2947 (KLR)", Case Analysis (2025). Not stated in judgment. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2025/2947/eng@2025-10-30
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.