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MagistratePartially AllowedMakindu SPMC ELRC Case No. E002 of 2022

Musya v Ndumu Plastics Limited (Environment and Land Case E002 of 2022) [2026] KEMC 423 (KLR)

Makindu Senior Principal Magistrate's Court (Employment and Labour Relations)
14 July 2026
6,773 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~27 min to read original · ~4 min brief

The bottom line

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A Kenyan court ruled that a worker paid monthly for three years was not casual, and his employer's COVID-19 'redundancy' was unfair because it skipped required legal steps.

What this practically means

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Executive summary

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The claimant, employed as a night guard at the respondent's Kibwezi depot from 1/4/2019, sued for terminal dues after the respondent removed the property he was guarding and his services ended around 1/6/2022 without notice. The respondent denied an employment relationship, describing him as an intermittent casual worker, and attributed the cessation to closure of the depot occasioned by COVID-19 economic hardship, relying on an internal memo of 3/5/2022 giving one month's notice. An earlier ex parte judgment was set aside by consent and the matter started de novo. The court found the claimant's monthly Mpesa payments of Ksh. 10,000/= over three years uncontroverted and inconsistent with intermittent casual labour; invoking section 37 of the Employment Act and supporting Court of Appeal authority, it held the contract had converted to a monthly-wage contract. On termination, the court assumed a business-closure redundancy but found section 40's mandatory procedure unmet: the memo was general, service on the claimant was not proved, and the labour officer was not notified, rendering the termination unfair. The court refused notice pay (salary was paid to June 2022), reduced damages from twelve to eight months' salary for lack of mitigation evidence, refused unproven overtime, and awarded accumulated leave of Ksh. 21,000/=, pro rata leave of Ksh. 1,333/=, service pay of Ksh. 15,000/= and damages of Ksh. 80,000/=, totalling Ksh. 117,333/=. It ordered a certificate of service within 45 days, statutory deductions, interest at court rates, and costs to the claimant.

Questions the Court framed

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

  1. 1.Whether the Claimant was an employee of the respondent as envisaged by law
  2. 2.Whether the claimant was dismissed from employment
  3. 3.If so, whether such dismissal was wrongful or unfair
  4. 4.Whether the Claimant is entitled to the reliefs sought

Key legal issues

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01

Status of the claimant's employment - intermittent casual worker or monthly contract employee

Holding

The claimant was not an intermittent casual labourer; if initially casual, the contract converted by operation of law under section 37 to one where wages are paid monthly

Reasoning

The claimant produced a 24/3/2020 letter authored by the respondent's witness confirming employment as a security guard, and an uncontroverted Mpesa statement showing monthly payments of Ksh. 10,000/= from April 2019 to July 2022 with no breaks. The respondent's own pleadings were contradictory, describing the claimant both as an intermittent casual and as a member of staff given notice and paid in lieu of notice. Monthly payment for three years is inconsistent with casual engagement, and section 37 deems such employment a monthly contract.

p. 13
02

Whether the termination was a lawful redundancy or an unfair termination

Holding

The respondent's actions fell short of a lawful redundancy; the procedure was irregular, unlawful and unfair

Reasoning

Assuming a business-closure redundancy, section 40(1) of the Employment Act prescribes mandatory conditions: personal written notice to the employee and notification of the labour officer, plus notice pay and severance. The 3/5/2022 memo was general, addressed to 'staffs', with no evidence it was served on the claimant, and no evidence the labour officer was informed. Applying Kenya Airways Ltd v Aviation & Allied Workers Union, the employer had to prove a valid, fair reason and fair procedure; it failed on procedure.

p. 16
03

Remedies for unfair termination

Holding

Award of 8 months' salary as damages for unfair termination, accumulated leave pay, pro rata leave pay, service pay, certificate of service; notice pay and overtime refused

Reasoning

Under section 49(1)(c) the maximum is twelve months' salary, but mitigation, unclear evidence of re-employment and dependants led to an award of eight months. Leave was computed at 21 days per year under section 28(1)(a) for three years plus pro rata for two months. Service pay at 15 days per year under section 35(5) applied since no evidence showed membership of a pension, NSSF or similar scheme. Overtime failed for want of strict proof; notice pay was covered by the June 2022 salary.

p. 17

Legal principles established

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  • An employer who fails to issue a written contract of service for employment exceeding three months bears the burden of proving or disproving alleged terms of employment, and the employee's word is to be believed
  • Casual employment cannot lawfully continue indefinitely; where a casual employee works continuously for the equivalent of not less than one month, the contract is deemed to be one where wages are paid monthly under section 37 of the Employment Act
  • Financial difficulties such as COVID-19-driven business closure can constitute genuine redundancy, but the employer must still comply with the mandatory procedural requirements of section 40 of the Employment Act, including notifying the labour officer and the employee personally in writing
  • A claim for unpaid overtime is in the nature of special damages and must be specifically pleaded and strictly proved

Court orders

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  1. 1.Judgment entered in favour of the Claimant against the Respondent
  2. 2.Damages for unfair termination of Ksh. 80,000/=
  3. 3.Accumulated leave days pay of Ksh. 21,000/=
  4. 4.Pro rata leave days pay of Ksh. 1,333/=
  5. 5.Service pay of Ksh. 15,000/= (total award Ksh. 117,333/=)
  6. 6.Respondent to issue the Claimant with a Certificate of Service within 45 days
  7. 7.Awards subject to statutory deductions pursuant to section 49(2) of the Employment Act
  8. 8.Decretal sum to accrue interest at court rates from the date of judgment/decree until payment in full
  9. 9.Respondent to bear the costs of the suit

The bench

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

majority

Wrote the judgment

Jurisdiction invoked
Employment and Labour Relations jurisdiction of the magistrates' court (Employment Act); suit filed as Makindu SPMC ELRC Case No. E002 of 2022

Relief refused

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Notice pay of Ksh. 10,000/=

Claimant was paid salary up to June 2022 although services terminated in May 2022, covering salary in lieu of notice

p. 16

Damages for wrongful dismissal at 12 months' salary (Ksh. 120,000/=)

Reduced to 8 months' salary given the claimant's duty to mitigate and unclear evidence on re-employment and dependants

p. 17

Unpaid overtime (claimed in paragraph 16 of the Memorandum of Claim but omitted from the concluding prayers)

Overtime is in the nature of special damages, must be specifically pleaded and strictly proved; no evidence of hours worked was led

p. 20

Costs

The Respondent shall bear the costs of the suit.

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.

Based on the evidence on record, I find and hold that the claimant was not an intermittent casual labourer and if at all he was initially employed on casual basis, the contract of service of the claimant assumed permanency and was deemed to be one where wages are paid monthly and section 35 (1) (c) applies to that contract of service in terms of section 37.
p. 13Conversion of casual employment under section 37 of the Employment Act
In view of the foregoing, I find that the respondent's actions fall short of a redundancy. The procedure adopted by the respondent to terminate the service of the claimant was highly irregular and unlawful. It was unfair.
p. 16Failure to comply with section 40 redundancy procedure
It is my finding that the Claimant has proven his case against the Respondent on a balance of probabilities. Consequently, the orders which commend themselves to me, and which I hereby make are as follows: a) Judgment is hereby entered in favour of the Claimant against the Respondent;
p. 20Disposition - judgment for the claimant
iv. Service pay………………………………………………………………Ksh. 15,000/= Total………………………………………………………………….Ksh.117,333/=
p. 20Final awards totalling Ksh. 117,333/=
c) The Respondent to issue the Claimant with a Certificate of Service within 45 days from today; d) The above sums shall be subject to statutory deductions pursuant to section 49(2) of the Employment Act;
p. 20Final orders - certificate of service and statutory deductions
e) The decretal sum shall accrue interest at court rates from the date of judgment/decree until payment in full; f) The Respondent shall bear the costs of the suit.
p. 21Final orders - interest and costs

Issues in the judgment

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material

The respondent's case is internally contradictory: it alleges the claimant was an intermittent casual worker who absconded, yet also asserts he was given one month's notice as a member of staff and paid one month's salary in lieu of notice

minor

The Memorandum of Claim lists two different figures both described as 'Pro-rated leave' (Ksh. 52,500/= and Ksh. 47,952/=), and the court noted the duplication and lack of basis for the figures

minor

The claimant's date of discovering the removal of the property is stated inconsistently: the pleadings and issues section says 1/5/2022 while the claim alleges implied dismissal on 1/6/2022, and the analysis refers to services terminated in May 2022 though the claimant averred termination on 1/6/2022

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, "Musya v Ndumu Plastics Limited (Environment and Land Case E002 of 2022) [2026] KEMC 423 (KLR)", Case Analysis (2026). Makindu SPMC ELRC Case No. E002 of 2022. Source: https://new.kenyalaw.org/akn/ke/judgment/kemc/2026/423/eng@2026-07-14

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