Kenya Union of Road Contractors & Civil Engineering Workers v Classic Terrazo Enterprises
The bottom line
#A Kenyan court ruled that laying off a worker without any written notice is unfair termination, awarding the worker Kshs. 71,475 plus costs.
What this practically means
#Executive summary
#Questions the Court framed
#The issues the Court set itself to decide, in its own words.
- 1.Whether the termination was unfair and unlawful.
- 2.Whether the reliefs sought are merited.
Key legal issues
#Whether the termination was unfair and unlawful
Termination was procedurally unfair; no redundancy notice under section 40(1)(a), no section 35(1) notice, and no clause 19 sectoral order notice was issued
The uncontroverted evidence was that the grievant was laid off by her foreman on 11th November 2022 without any notice. Section 40(1) of the Employment Act prescribes mandatory conditions for redundancy, including one month's notice to the union and labour officer. None was issued, nor even a section 35(1) notice or clause 19 sectoral order notice. The Respondent, having not participated, failed to discharge the burden under sections 41, 43 and 45.
Whether the reliefs sought are merited
Declaration granted; notice pay, two months' compensation and leave pay awarded; underpayment claim failed for lack of proof
Having found unfair termination, the court awarded reliefs under section 49(1): one month's salary in lieu of notice, two months' compensation reflecting one year of service and absence of contributory misconduct, and 11 days' leave pay unrebutted by leave records. The underpayment claim failed for want of particulars and evidence of the transfer date.
Legal principles established
#- Termination on account of redundancy without the notices and payments prescribed by section 40(1) of the Employment Act, or at least section 35(1) notice, is procedurally unfair under section 45(2).
Court orders
#- 1.Declaration that the termination of the Claimant's employment was unfair
- 2.Award of Kshs. 19,109.00 as salary in lieu of notice
- 3.Award of Kshs. 38,218.00 as compensation for unfair termination (two months' salary)
- 4.Award of Kshs. 14,148.00 as leave pay
- 5.Total award of Kshs. 71,475.00 subject to statutory deductions
- 6.Costs of the claim to the Claimant plus interest at court rates from the date of judgment
The bench
#One judgment of the whole court — no separate or dissenting opinions.
Wrote the judgment
- Jurisdiction invoked
- Employment and Labour Relations Court jurisdiction under the Employment and Labour Relations Act (unfair termination claim under the Employment Act)
Relief refused
#Claim for salary underpayment
Lacked particulars and no evidence of the date of transfer from Manyani to Nairobi to compute underpayment
Costs
Claimant is awarded costs plus interest at court rates from the date of this judgment.
Quotable passages
#Verbatim from the judgment, each located to the page it appears on in the official PDF — so these can be cited and checked directly.
It follows that the termination was procedurally unfair.
In conclusion, I enter judgment for the Claimant in the following terms:
Total Kshs. 71,475.00
d. Claimant is awarded costs plus interest at court rates from the date of this judgment.
Issues in the judgment
#Employment start date stated as December 2021 in evidence but December 2011 in analysis
Notice pay computed at daily wage of Kshs. 731.50 though pleaded daily wage was Kshs. 450
Key timeline
#Practical implications
#Frequently asked questions
#Cite this brief
#Cite this brief
Caselaw, "Kenya Union of Road Contractors & Civil Engineering Workers v Classic Terrazo Enterprises", Case Analysis (2026). Cause No. E924 of 2024. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2026/2633/eng@2026-09-29
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.