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ELRCAllowedCause No. 47 of 2007· [2007] KEELRC 2 (KLR)

KENYA SHOE & LEATHER WORKERS’ UNION v UMOJA RUBBER PRODUCTS LTD. [2007] KEELRC 2 (KLR)

Industrial Court of Kenya
13 September 2007
3,463 words in judgment
View original judgmentRead on Kenya Law Watch case
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The bottom line

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Kenya's Industrial Court ruled the shoe workers' union must replace the chemical workers' union as Umoja Rubber's recognised union for collective bargaining.

What this practically means

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Executive summary

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This was a demarcation dispute referred to the Industrial Court of Kenya at Mombasa by the Minister for Labour under Section 8 of the Trade Disputes Act, Cap. 234, concerning which of two rival unions - the Kenya Shoe & Leather Workers' Union (first Union) or the Kenya Chemical & Allied Workers Union (second Union, Interested Party) - was entitled to represent the unionisable employees of Umoja Rubber Products Ltd. The Company, Kenya's largest shoe manufacturer, had a recognition agreement and successive collective agreements with the second Union since 1979. In 1999 the Minister had recommended against recognition of the first Union, but a Demarcation Committee appointed in 2004 reported in June 2006 that over 80% of the Company's activities were devoted to shoe manufacturing, and recommended the first Union as the sole legitimate representative. The Company and the second Union rejected the recommendation; the Company's attempt to rescind the recognition agreement was challenged, prompting the reference to the Court. The second Union challenged the report as unsigned and as a product of the first Union's 2004 constitutional amendment encroaching on its jurisdiction. The Court applied Section 119 of the Evidence Act to presume the Demarcation Committee duly signed its report, holding the objection was raised too late. Finding that the Company's industrial activity now fell squarely within the shoe industry and that the first Union was the more specific union, the Court upheld the Minister's findings and ordered the Company to recognise the first Union, to execute a formal recognition agreement within two months, and to rescind forthwith the existing recognition agreement with the second Union. No costs order was made.

Key legal issues

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01

Entitlement to recognition between two rival unions with competing constitutional mandates

Holding

The first Union, being more specific to the shoe industry, is entitled to be accorded formal recognition as the sole and rightful representative of the Company's unionisable employees.

Reasoning

The Company's activities had drastically changed: over 80% of its concerns were devoted to shoe manufacturing, making it the largest shoe manufacturer in the country. Both unions' constitutions covered rubber making, but the first Union's constitution was more specific, covering manufacture and repair of shoes. The Court upheld the Minister's second report findings and recommendation, and ordered recognition of the first Union and execution of a recognition agreement within two months.

p. 5
02

Challenge to the Demarcation Committee report for want of signatures

Holding

The objection failed; the Court presumed the report was duly signed and endorsed.

Reasoning

Mr. Ogutu challenged the validity of the Minister's second report on the ground that it was not signed by the Demarcation Committee members. The Court applied Section 119 of the Evidence Act on rebuttable presumptions of fact, noting that no such objection was taken earlier; had it been, the Court could have summoned the Committee members. The Court appreciated the important role of Demarcation Committees and presumed the Committee performed its duty properly and signed the report as required by law.

p. 5

Legal principles established

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  • Where an employer's industrial activities have changed so that over 80% of its activities fall within one industry, the more specific union to that industry is entitled to recognition as sole representative of the unionisable employees.
  • The Court may presume, under Section 119 of the Evidence Act, that a Demarcation Committee duly performed its duty and signed its report where no timely objection as to lack of signatures was raised.

Court orders

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  1. 1.The Company is to accord formal recognition to the first Union (Kenya Shoe & Leather Workers' Union) as the sole and rightful representative of its unionisable employees
  2. 2.The parties should sign a formal recognition agreement within two (2) months from the date of the award for purposes of collective bargaining
  3. 3.The Company is to revoke or rescind forthwith the existing recognition agreement between it and the second Union (Kenya Chemical & Allied Workers Union)
Jurisdiction invoked
Reference by the Minister for Labour under Section 8 of the Trade Disputes Act, Cap. 234, with statutory certificate from the Labour Commissioner under Section 14(9)(e)

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, "KENYA SHOE & LEATHER WORKERS’ UNION v UMOJA RUBBER PRODUCTS LTD. [2007] KEELRC 2 (KLR)", Case Analysis (2007). Cause No. 47 of 2007. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2007/2/eng@2007-09-13

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