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ELRCDismissedCause No. 2134 of 2012

Julius Njagi Mbui v Kenya Nut Company Limited [2018] KEELRC 50 (KLR)

Industrial Court of Kenya (Employment and Labour Relations Court)
20 December 2018
1,144 words in judgment
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The bottom line

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A Kenyan court dismissed a former worker's unfair dismissal claim because his own testimony contradicted his case, letting his employer's summary dismissal under the Employment Act stand.

What this practically means

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Executive summary

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The claimant, employed by the respondent in August 1993 as a casual worker at Kshs.5,500 per month and allegedly a security officer until May 2009, claimed benefits and dues pursuant to unfair termination. He sought service pay of Kshs.990,000 for 15 years, Kshs.151,920 for worked holidays, three months' notice pay of Kshs.16,500, damages for unfair termination and other reliefs. The respondent denied the claim, contending lawful summary dismissal under section 44 of the Employment Act, 2007 for causing loss of parchment coffee on 12th May, 2009 by leaving the coffee drying area unguarded. At the hearing on 16th October, 2018 the claimant testified but gave inconsistent evidence: he pleaded oral termination yet testified he was dismissed by letter dated 20th May, 2009; he admitted signing a certificate of clearance dated 26th June, 2009 and receiving Kshs.12,380.00 by cheque dated 17th September, 2009 as total terminal dues; and he contradicted himself on payment of overtime. The respondent filed written submissions. The court framed three issues: lawfulness of termination, entitlement to relief, and costs. It found the claimant's testimony inconsistent and his failure to rebut the respondent's case of neglect and absconding duty fatal. The court held the termination lawful, held the claimant disentitled to relief, dismissed the claim, and ordered each party to bear their own costs. Judgment dated and delivered 20th December, 2018 before D.K. Njagi Marete, Judge, and Maureen Onyango, Principal Judge.

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 employment of the claimant by the respondent was wrongful, unfair and unlawful?
  2. 2.Whether the claimant is entitled to the relief sought?
  3. 3.Who bears the costs of this claim?

Key legal issues

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01

Whether the termination was wrongful, unfair and unlawful

Holding

The termination was lawful; the claimant failed to rebut the respondent's case of summary dismissal under section 44 of the Employment Act, 2007 for leaving the coffee drying area unguarded and causing loss.

Reasoning

The court scrutinised the claimant's testimony and found it inconsistent: he pleaded oral termination but testified he was dismissed by letter dated 20th May, 2009. On cross-examination he admitted signing a certificate of clearance dated 26th June, 2009 and receiving Kshs.12,380.00 as total terminal dues. He did not rebut the respondent's case of neglect and absconding duty occasioning theft of coffee parchment. Accordingly the court found lawful termination.

p. 2
02

Whether the claimant is entitled to the relief sought

Holding

The claimant is not entitled to the relief sought as he lost on the issue of unlawful termination.

Reasoning

The claimant sought service pay, holiday pay, notice pay and damages for unfair termination. Because the court found the termination lawful, the claimant became disentitled to all relief flowing from unfair termination. The court therefore dismissed the claim.

p. 2
03

Who bears the costs of the claim

Holding

Each party was ordered to bear their own costs.

Reasoning

Although the claim was dismissed, the court declined to award costs to the respondent, instead ordering each party to bear their own costs of the suit.

p. 3

Legal principles established

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  • A claimant who fails to prove unfair termination is disentitled to the relief sought
  • Inconsistent and contradictory testimony undermines a claimant's case and failure to rebut the employer's account of summary dismissal results in a finding of lawful termination

Court orders

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  1. 1.The claim is dismissed with orders that each party bears their costs of the same.

The bench

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

Wrote the judgment

MO
Maureen OnyangoPrincipal Judge
majority
Jurisdiction invoked
Employment and labour relations jurisdiction of the Industrial Court (Employment Act, 2007 invoked)

Relief refused

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Service pay of Kshs.990,000 for 15 years

The court found the termination lawful, disentitling the claimant to relief

p. 2

Payment for worked holidays of Kshs.151,920

Claim dismissed; claimant's testimony inconsistent and he did not rebut the respondent's case

p. 2

Three months' notice pay of Kshs.16,500 and damages for unfair termination

The court found lawful summary dismissal for breach of section 44 of the Employment Act, 2007

p. 2

Costs

Each party to bear their own costs of the claim

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.

I therefore find a case of lawful termination of the employment of the claimant by the respondent and hold as such.
p. 2lawfulness of summary dismissal
Having lost on a case of unlawful termination of employment, he becomes disentitled to the relief sought.
p. 2consequence of failure to prove unfair termination
I am therefore inclined to dismiss the claim with orders that each party bears their costs of the same.
p. 3final orders and costs

Issues in the judgment

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minor

The judgment records contradictory signing/delivery clauses and lists two judges, but only D.K. Njagi Marete is identified as having authored the judgment.

minor

The judgment inconsistently refers to the claimant's dismissal as oral (as pleaded) and by letter dated 20th May, 2009 (as testified).

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, "Julius Njagi Mbui v Kenya Nut Company Limited [2018] KEELRC 50 (KLR)", Case Analysis (2018). Cause No. 2134 of 2012. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2018/50/eng@2018-12-20

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