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ELRCPartially AllowedCause No. 44 of 2011 (as referenced: Industrial Court of Kenya, Nairobi)

PETENALI LUYUNDI MUYUKA V TANDU ALARM SYSTEMS LTD [2012] KEELRC 140 (KLR)

Industrial Court of Kenya (Employment and Labour Relations Court)
14 December 2012
1,853 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~7 min to read original · ~4 min brief

The bottom line

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A Kenyan court ruled that firing a guard without a hearing was unfair, awarding him a full year's salary.

What this practically means

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Executive summary

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The claimant, a night guard employed by the respondent at a monthly gross pay of Ksh.13,719, was summarily dismissed on 27th February 2010 under Section 44(4)(d) of the Employment Act, 2007 for allegedly refusing to change shifts and insubordination. The claimant testified he was on official off from 22nd to 25th February 2010, worked the night of 25th February to cover a colleague, and could not reasonably have switched to day shift the next morning. He was also not accorded a hearing, and his appeal was never heard. The respondent's witnesses, including the Operations Manager Lloyd Kirimi Kabuga and supervisor Santa Osogo, confirmed the circumstances of the dismissal. The court held that the claimant was not accorded the mandatory hearing under Section 41 of the Employment Act, that the reasons for termination were not genuine, and that the termination was unfair and unlawful. Relying on its earlier decision in Grace Gacheri Muriithi v Kenya Literature Bureau, the court held it was unfair labour practice to punish an employee whose alleged misconduct related to unresolved valid grievances, contrary to Article 41(1) of the Constitution, since the claimant had a responsible and well-founded complaint about an impossible directive and increased commuting costs. The claimant was awarded 12 months' gross salary (Ksh.164,628) for unfair termination, one month's pay in lieu of notice (Ksh.6,839), and admitted dues of Ksh.4,236 for one leave day and uniform refund. Claims for leave beyond the admitted day and house allowance were not granted. Judgment was entered for the claimant for Ksh.175,703 plus interest, a statutory certificate of service, and costs of the cause.

Questions the Court framed

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

  1. 1.Whether the termination of the claimant's employment was fair and lawful, including whether the claimant was accorded a hearing under Section 41 of the Employment Act, 2007
  2. 2.Whether the reasons for termination were genuine and valid
  3. 3.Whether the claimant is entitled to compensation for unfair termination and one month's pay in lieu of notice
  4. 4.Whether the claimant is entitled to leave days not taken, house allowance, and other dues claimed

Key legal issues

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01

Whether termination without a hearing complied with Section 41 of the Employment Act

Holding

The claimant was not accorded a hearing; such hearing was mandatory and its absence rendered the termination unfair and unlawful

Reasoning

The court found that the claimant, having been on official off and called to cover duty, could not reasonably have complied with a change of shift with no notice. No hearing was granted before summary dismissal, contrary to the mandatory procedural requirement of Section 41. The reasons for termination were therefore not genuine and the dismissal was unfair and unlawful.

p. 2
02

Whether punishing an employee for raising valid grievances constitutes unfair labour practice

Holding

Yes; where the alleged misconduct relates to unresolved valid grievances, punishing the employee is unfair labour practice contrary to Article 41(1) of the Constitution and renders the dismissal unjust

Reasoning

The court applied its earlier decision in Grace Gacheri Muriithi v Kenya Literature Bureau, holding that the claimant had a responsible and well-founded complaint about an impossible operational directive and increased commuting costs. Dismissing him for that complaint contravened the constitutional right to fair labour practices, and such a dismissal is invariably unfair and unjust.

p. 3
03

Quantum of compensation for unfair termination

Holding

Maximum compensation of 12 months' gross salary (Ksh.164,628) plus one month's pay in lieu of notice (Ksh.6,839), together with admitted dues of Ksh.4,236

Reasoning

The claimant was found unfairly terminated and entitled to compensation at the maximum of 12 months' gross salary, one month's pay in lieu of notice, and the admitted one leave day and uniform refund. The claimant had a monthly gross pay of Ksh.13,719 as per his December 2009 pay slip.

p. 3

Legal principles established

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  • An employee must be accorded a hearing before termination as envisaged under Section 41 of the Employment Act, 2007, and such hearing is mandatory
  • It is unfair labour practice for an employer to punish an employee where the alleged misconduct relates to unresolved valid grievances, in contravention of Article 41(1) of the Constitution

Court orders

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  1. 1.The respondent to pay the claimant a sum of Ksh.175,703/= plus interest at court rates at the date of the judgment
  2. 2.The respondent to issue and deliver to the claimant the statutory certificate of service
  3. 3.The respondent to pay the costs of the cause

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 Court jurisdiction over employment disputes (memorandum of claim under the Employment Act, 2007; Industrial Court of Kenya)

Relief refused

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House allowance at 15% per month for 8 years (Ksh.59,911.80)

The court found the claimant entitled only to the amounts it specifically awarded; the house allowance claim was not included in the final award

Pay for 21 leave days per year for 8 years beyond what was admitted

The court found the claimant took all due leave days except one admitted day

p. 3

Costs

The respondent to pay the costs of the cause.

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.

In conclusion, judgment is entered for the claimant against the respondent for: a) the respondent to pay the claimant a sum of Ksh.175,703/= plus interest at court rates at the date of the judgment; b) the respondent to issue and deliver to the claimant the statutory certificate of service; and c) the respondent to pay the costs of the cause.
p. 4Final orders and disposition
The claimant was not accorded a hearing as envisaged under Section 41 of the Employment Act, 2007. Such hearing was mandatory.
p. 2Mandatory pre-termination hearing
The reasons for termination were therefore not genuine and the court finds that the termination was unfair and unlawful.
p. 2Fairness of termination
The court upholds its decision in the case of Grace Gacheri Muriithi -Versus - Kenya Literature Bureau, Industrial Court of Kenya Cause No. 44 of 2011 that its unfair labour practice for an employee to be punished in circumstances whereby the alleged misconduct relates the unresolved valid grievances.
p. 3Unfair labour practice - punishing valid grievances
The court therefore finds that the claimant is entitled to Ksh.4,236/= for the one leave day and refund of the uniform as admitted by the respondent.
p. 3Admitted leave day and uniform refund

Issues in the judgment

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minor

The judgment inconsistently dates the shift-change events, referring to 25.02.2010 elsewhere but to 25.02.2011 and 25.02.2006/26.02.2006 in the findings

minor

The case number of the present cause is not expressly stated in the judgment; Cause No. 44 of 2011 appears only as the citation of the prior case, though the relief figures correspond to that cause number

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, "PETENALI LUYUNDI MUYUKA V TANDU ALARM SYSTEMS LTD [2012] KEELRC 140 (KLR)", Case Analysis (2012). Cause No. 44 of 2011 (as referenced: Industrial Court of Kenya, Nairobi). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2012/140/eng@2012-12-14

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