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ELRCDismissedELRC Appeal No. E220 of 2025

A.O. Bayusuf & Sons Limited v Boniface Oloo Wesonga

Employment and Labour Relations Court
30 September 2026
10,161 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~41 min to read original · ~4 min brief

The bottom line

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Kenya's Employment Court upheld a Kshs. 688,154 award against an employer that fired a driver over a fuel shortage without a fair hearing or solid evidence.

What this practically means

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Executive summary

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The Appellant employer appealed against parts of a judgment of the Principal Magistrate's Court at Mombasa (Hon. R. Ombata, PM) which found that it had unfairly terminated the employment of the Respondent, a long-distance truck driver of over nine years' service, and awarded him Kshs. 688,154.75. The dispute arose from a shortfall of 1,704 litres in a sealed consignment delivered to Uganda. The trial court found the termination procedurally and substantively unfair, found constructive dismissal, awarded six months' compensation, notice pay, unpaid salary, underpayment and a refund of deductions, and declined commuter allowance, leave and unremitted statutory deductions claims. The Appellant's thirteen-ground appeal challenged the fairness findings and three awards. The ELRC, per Ocharo Kebira J, dismissed the appeal. It held that constructive dismissal was never pleaded and was mutually exclusive with the pleaded case of dismissal by the employer, so that finding was set aside. However, it upheld the finding of unfair termination: the show-cause notice gave less than a day to respond; service of the hearing invitation by WhatsApp was not proved, the screenshot not showing the recipient; even on the Appellant's best case only some twenty-two hours' notice of the hearing was given; no hearing took place; and the Appellant produced no investigation report, consignee records or dip readings to substantiate its belief in the Respondent's guilt. The awards of notice pay, six months' compensation and the refund of Kshs. 226,205 in deductions were upheld, the commitment letter of 5th May 2023 being retrospective, limited to recovery from leave or terminal benefits, and unquantified. The trial judgment was otherwise upheld in its entirety, with the Appellant to bear the Respondent's costs of the appeal.

Questions the Court framed

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The issues the Court set itself to decide, in its own words.

  1. 1.The suspension of the Respondent, and whether the learned magistrate was entitled to find that he had been constructively dismissed
  2. 2.Whether the termination of the Respondent's employment was procedurally fair
  3. 3.Whether the termination was substantively justified
  4. 4.Whether the reliefs challenged were properly awarded
  5. 5.Costs

Key legal issues

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01

Whether the Respondent was constructively dismissed

Holding

The finding of constructive dismissal was erroneous; the cause of action was never pleaded and was mutually exclusive with the pleaded case of dismissal by the employer

Reasoning

Constructive dismissal requires pleading of the term breached, the repudiatory conduct, and the employee's acceptance of the repudiation by leaving. The Respondent pleaded that the Appellant terminated his employment; it was common ground the employment ended by the Appellant's letter of summary dismissal. An employee cannot at once have been dismissed and have left in acceptance of repudiation. The finding could not stand, though it did not affect the outcome since the awards rested on the independent finding of unfair termination.

p. 34
02

Whether the termination was procedurally fair

Holding

Procedurally unfair: less than a day to answer the show-cause notice, unproved WhatsApp service of the hearing invitation, some twenty-two hours' notice of the hearing, and no hearing at all

Reasoning

The screenshot of the WhatsApp message info did not show the recipient, and the Respondent's unchallenged evidence was that the number used was not on WhatsApp. Even on the Appellant's best case, notice of the hearing was about twenty-two hours, mostly on a Sunday, inadequate for a charge of such gravity. RW1 conceded no hearing was conducted and there were no minutes. The Respondent's written explanation was not considered in the dismissal letter.

p. 42
03

Whether the termination was substantively justified

Holding

Not substantively justified; the Appellant failed to prove a valid and fair reason under sections 43 and 45(2)

Reasoning

The Respondent denied and explained the shortage, blaming the consignee's tank, yet the Appellant produced no consignee correspondence, no dip or ullage readings, and no investigation report despite suspending him for two months for that purpose. The management team that intervened at the consignee's premises were not called, and an adverse inference was drawn. Suspicion alone does not satisfy the test of reasonable grounds; the belief must rest on evidence fairly weighed against the employee's explanation.

p. 46
04

Whether the awards of notice pay, compensation and refund of deductions were properly made

Holding

All three awards properly made; section 44 summary dismissal unavailable absent proven gross misconduct through a fair process, and the commitment letter could not justify blanket deductions

Reasoning

Notice pay was due under the contract and section 35(1)(c), founded independently of constructive dismissal. The six months' compensation was a measured exercise of discretion under section 49 with relevant factors considered. The deductions predated the commitment letter, which authorised recovery only from annual leave or terminal benefits, did not quantify losses, and could not confer a deduction power the statute does not give.

p. 55
05

The propriety of the memorandum of appeal

Holding

The memorandum repeated complaints, embedded argument and contained errors, but the court considered the substance of every ground

Reasoning

Grounds of appeal must set forth concisely and under distinct heads the grounds of objection without argument or narrative, per Order 42 rule 1(2). The memorandum fell into these errors, including misdating the termination letter and describing the compensation award as nine months' when it was six. Access to justice should not turn on the craftsmanship of a memorandum, so the substance of every ground was considered.

p. 24

Legal principles established

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  • An indefinite suspension without pay, attended by no communication and no evident investigation, may be an unfair labour practice and repudiatory
  • Constructive dismissal is a distinct cause of action that must be pleaded; it cannot be built at the submissions stage
  • A consent given after the event cannot render lawful a deduction that was unlawful when made, and parties cannot by consent confer a statutory deduction power on the employer
  • The employer bears the burden of proving service of a disciplinary invitation; the employee need not disprove it

Court orders

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  1. 1.The appeal is dismissed
  2. 2.The finding of the trial court that the Respondent was constructively dismissed is set aside; the finding that his employment was unfairly terminated is upheld
  3. 3.The Judgment and Decree of the Principal Magistrate's Court at Mombasa delivered on 28th October 2025 in Mombasa MCELRC No. E804 of 2023, including the award of Kshs. 688,154.75 together with costs and interest, is otherwise upheld in its entirety
  4. 4.The Appellant shall bear the Respondent's costs of this appeal

The bench

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One judgment of the whole court — no separate or dissenting opinions.

majority

Wrote the judgment

On appeal from
Principal Magistrate's Court at Mombasa
Mombasa MCELRC No. E804 of 2023
Jurisdiction invoked
First appeal from the subordinate court under the Employment and Labour Relations Court Act; duty of first appellate court to reconsider evidence

Relief refused

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Appellant's prayer that the termination be held fair and procedural and that the awards of notice pay, compensation and the refund of Kshs. 226,205 be set aside

The Appellant failed to prove a valid reason and fair procedure; the termination was both substantively unjustified and procedurally unfair

p. 50

Costs

The Appellant shall bear the Respondent's costs of this appeal; the trial court's award of costs and interest to the Respondent upheld

Quotable passages

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Verbatim from the judgment, each located to the page it appears on in the official PDF — so these can be cited and checked directly.

(a) The appeal is dismissed.
p. 57Disposition - dismissal of appeal
(b) The finding of the trial court that the Respondent was constructively dismissed is set aside. The finding that his employment was unfairly terminated is upheld.
p. 57Final orders - constructive dismissal finding set aside
(d) The Appellant shall bear the Respondent's costs of this appeal.
p. 57Costs of the appeal
An investigatory suspension of that kind is not a punishment. It is a holding measure, taken so that the truth can be ascertained.
p. 26Employer's prerogative to suspend
The law does not countenance an employer holding an employee in that state for as long as it pleases.
p. 27Indefinite suspension without pay
It is no part of the duty of the court to enter upon any inquiry into the case before it other than to adjudicate upon the specific matters in dispute which the parties themselves have raised by the pleadings.
p. 31Parties bound by pleadings
Parties to a contract of employment cannot, by consent, confer on the employer a power of deduction that the statute does not give.
p. 55Lawfulness of wage deductions

Issues in the judgment

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minor

Judgment delivery date of 30th September 2026 is inconsistent with the appeal number of 2025 and the April 2026 submissions timeline

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, "A.O. Bayusuf & Sons Limited v Boniface Oloo Wesonga", Case Analysis (2026). ELRC Appeal No. E220 of 2025. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2026/2745/eng@2026-09-30

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