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MagistratePartially AllowedMCELRC Cause No. E570 of 2024· [2026] KEMC 445 (KLR)

Musyoki v Atisco Security Company Ltd (Cause E570 of 2024) [2026] KEMC 445 (KLR)

Chief Magistrates Court at Mombasa
30 July 2026
3,948 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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A Mombasa court awarded a security guard over Kshs.478,000 because agreeing to a lower salary cannot override Kenya's statutory minimum wage.

What this practically means

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Executive summary

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The Claimant, a night security guard employed by the Respondent from 1st December 2019 to 8th November 2023 at Kshs.7,000 per month, claimed terminal dues following what he said was a resignation on medical grounds. The Respondent contended he deserted duty and denied receipt of any resignation letter. The Court framed three issues: whether the Claimant resigned or deserted, entitlement to reliefs, and costs. On the central issue, it found the evidence inconclusive: the unacknowledged handwritten resignation letter, uncorroborated delivery and absence of telephone records did not prove communication of resignation; equally, desertion was not established because the Respondent produced no demand to resume duty, show-cause letter or disciplinary process. The Court held that contractual agreement cannot override statutory minimum wage protections, and computed underpayments of Kshs.425,337.55 using the pleaded Wage Order rates. House allowance at 15% for 27 months (Kshs.28,350) was awarded, the section 90 limitation objection failing since suit was filed within twelve months. Leave pay was limited to two completed leave years within the three-year limitation period (Kshs.11,307.66), the burden of keeping leave records lying on the employer. Service pay of Kshs.14,000 was awarded because pension membership under section 35(6) was not proved. A Certificate of Service was ordered, the section 51 duty being mandatory regardless of the mode of cessation. Damages for unfair labour practices were declined as no termination by the employer was proved. Judgment totalled Kshs.478,995.21 with interest and costs to the Claimant.

Key legal issues

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01

Whether the Claimant resigned or deserted duty

Holding

The evidence on how employment ended is inconclusive: resignation was not proved as communicated, but desertion was also not established.

Reasoning

The burden of proving resignation lay on the Claimant; the unsigned, unacknowledged letter and absence of the guard or telephone records did not establish delivery. Conversely, desertion requires proof of intention not to return and the Respondent produced no demand to resume duty, show-cause letter, or disciplinary proceedings under section 41. Neither version was wholly proved.

p. 9
02

Underpayments below the statutory minimum wage

Holding

Claim proved; the agreed contractual salary of Kshs.7,000 could not override the prescribed minimum wage for a night watchman.

Reasoning

Although courts should not rewrite freely negotiated contracts, the Employment Act and Labour Institutions Act set mandatory minimum standards that cannot be waived by contract. Commercial convenience and third-party contract values cannot justify payment below the Wage Order minimum. The Respondent produced no Wage Order showing compliance, and the Claimant's pleaded computation was adopted.

p. 13
03

House allowance

Holding

Claim succeeded at 15% of basic salary for 27 months; the limitation objection failed because suit was filed within twelve months of cessation.

Reasoning

Section 31 of the Employment Act obliges the employer to provide housing or pay house allowance. The Respondent did not show housing was provided or that the salary was expressly consolidated to include house allowance. The suit, filed 3rd September 2024, was within twelve months of the 8th November 2023 cessation, so section 90 did not defeat the claim.

p. 15
04

Accrued annual leave

Holding

Award limited to two completed leave years within the three-year limitation period because the Respondent failed to produce complete leave records.

Reasoning

Section 74 places the burden of maintaining employment records, including leave records, on the employer. The attendance registers covered limited periods and RW1 admitted no 2023 leave record existed. Incomplete records meant the uncertainty operated against the Respondent, but recovery was confined to the statutory limitation period.

p. 17
05

Service pay

Holding

Claim succeeded; the section 35(6) exclusion was not established because no proof of pension/NSSF membership was produced.

Reasoning

The Respondent asserted the Claimant belonged to a pension scheme but produced no NSSF statements, membership records or remittance schedules. Mere pleading is not evidence; the evidential burden of proving the statutory exclusion lay on the employer and was not discharged.

p. 18
06

Damages for unfair labour practices

Holding

Declined; no termination by the employer was proved and compensation under section 49 presupposes unfair termination by the employer.

Reasoning

Compensation under section 49 is available where unfair termination contrary to sections 41, 43 and 45 is established. The Court found the employment simply ceased without dismissal, and the Claimant's grievance related to unpaid statutory benefits, which does not by itself justify compensation for unfair termination.

p. 20
07

Certificate of Service

Holding

Granted; the obligation under section 51 is mandatory regardless of the mode of cessation.

Reasoning

Section 51 imposes a mandatory duty on every employer to issue a Certificate of Service unless exempted by statute. The duty does not depend on whether employment ended by resignation, desertion or expiry of contract, so the Respondent's argument that the Claimant disappeared could not stand.

p. 19

Legal principles established

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  • An employee cannot contract out of the statutory minimum wage; prescribed minimum wages become mandatory terms implied into every employment contract.
  • Desertion requires proof of deliberate abandonment with intention not to return, and the employer must show reasonable attempts to contact the absent employee.
  • The employer bears the statutory evidential burden of keeping leave records; where records are incomplete, uncertainty operates against the employer.
  • An employer alleging exclusion from service pay under section 35(6) must prove membership of the pension scheme; mere pleading is not evidence.
  • The duty to issue a Certificate of Service is mandatory and independent of the mode of cessation of employment.

Court orders

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  1. 1.Judgment entered in favour of the Claimant for underpayments of Kshs. 425,337.55
  2. 2.House allowance of Kshs. 28,350.00 awarded
  3. 3.Leave pay of Kshs. 11,307.66 awarded
  4. 4.Service pay of Kshs. 14,000.00 awarded (Total Award Kshs. 478,995.21)
  5. 5.The prayer for damages for unfair termination and unfair labour practices declined
  6. 6.Respondent to issue the Claimant with a Certificate of Service within thirty (30) days from the date of judgment
  7. 7.Monetary awards to attract interest at court rates from the date of judgment until payment in full
  8. 8.Claimant to have the costs of the suit
Jurisdiction invoked
Employment and Labour Relations jurisdiction of the Magistrates Court (Employment Act claims as MCELRC cause)

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, "Musyoki v Atisco Security Company Ltd (Cause E570 of 2024) [2026] KEMC 445 (KLR)", Case Analysis (2026). MCELRC Cause No. E570 of 2024. Source: https://new.kenyalaw.org/akn/ke/judgment/kemc/2026/445/eng@2026-07-30

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