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ELRCDismissedNotice of Motion dated 26th September 2018 (not stated in full in the judgment)

Elizabeth Agutu Odhiambo v Waumini Sacco Society [2018] KEELRC 63 (KLR)

Employment and Labour Relations Court
20 December 2018
3,250 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~13 min to read original · ~4 min brief

The bottom line

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A Kenyan employment court refused to stop an employee's demotion and transfer, ruling she had no strong case and any loss could be paid in money.

What this practically means

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Executive summary

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The applicant, a Marketing Manager of the respondent, moved the court by Notice of Motion dated 26th September 2018 seeking conservatory and injunctive orders restraining the respondent from demoting her to a customer care officer, reducing her salary from Kshs. 110,000 to Kshs. 75,000, transferring her from Nairobi to Nakuru, or filling the Marketing Manager position with another person, pending determination of her petition alleging breach of her contract of employment dated 15th September 2017 and Article 41(1) of the Constitution. The respondent opposed, contending her appointment by two Executive Committee members was never ratified by the Board as required by its Human Resource Policy, that she lacked qualifications, and that the appointment was therefore null and void ab initio; the Board resolved to redeploy her to her former grade. The court found the dispute a purely private law claim with no public interest element and determined the application against the Giella v Cassman Brown principles. It held that the applicant failed to establish a prima facie case with probability of success: the Board was the appointing authority, her appointment was unprocedural and she was unqualified, and her real grievance was relocation from Nairobi. Irreparable harm was not shown since the injury was quantifiable in monetary terms, and the balance of convenience did not arise as the principles are cumulative. Citing Rika J in Alfred Nyungu Kimungui v Bomas of Kenya, the court cautioned against interfering with managerial prerogatives at interlocutory stages. The Notice of Motion was dismissed with no costs.

Questions the Court framed

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

  1. 1.Whether there is public interest warranting conservatory relief
  2. 2.Whether the petitioner has met the threshold for grant of an interlocutory injunction under Giella v Cassman Brown (prima facie case, irreparable harm, balance of convenience)

Key legal issues

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01

Whether the applicant established a prima facie case with probability of success

Holding

She did not; her appointment was unprocedural and she was not qualified, and her complaint is really about relocation from Nairobi

Reasoning

The Board is the appointing authority under the HR Policy; the applicant's appointment was made by the CEO on recommendation of two Executive Committee members and was never ratified. She knew she was unqualified, never applied when the position was advertised, and never sought to stop the recruitment of a qualified manager. The court found her real interest was to remain in the Nairobi office, not in the Marketing Manager position.

p. 5
02

Whether the applicant would suffer irreparable harm

Holding

No; the injury from redeployment and transfer is quantifiable in monetary terms

Reasoning

Irreparable harm must be incapable of quantification in monetary terms or incapable of adequate compensation by damages. The loss arising from redeployment and transfer could be quantified, so even a prima facie case would not have earned an injunction.

p. 5
03

Whether the court should interfere with managerial prerogatives at the interlocutory stage

Holding

No; courts should be cautious not to take over managerial prerogatives

Reasoning

Relying on Alfred Nyungu Kimungui v Bomas of Kenya, the court held that interim orders limiting genuine exercise of managerial rights at the workplace should be avoided, and the court should take the course carrying the lower risk of injustice.

p. 5

Legal principles established

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  • The principles for interlocutory injunction under Giella v Cassman Brown are cumulative; failure on the first limb disposes of the application
  • Injunctions commonly sought by employees against employers may interfere with managerial prerogatives and courts should be slow to intervene at interlocutory stages

Court orders

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  1. 1.The Notice of Motion dated 26th September 2018 is dismissed with no costs

The bench

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

majority

Wrote the judgment

Jurisdiction invoked
Petition alleging breach of Article 41(1) of the Constitution (fair labour practices)

Relief refused

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Conservatory/injunctive orders restraining the respondent from demoting, reducing salary, transferring the applicant or enlisting another person as Marketing Manager

Applicant failed to prove a prima facie case with probability of success and no irreparable harm was shown; no public interest in granting the orders

p. 4

Order directing the respondent to retain the applicant as Marketing Manager without salary reduction

On a preponderance of evidence, no breach of contractual rights established; injury quantifiable in monetary terms

p. 5

Costs

Dismissed with no costs

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 view of the foregoing summary of facts, I see no public interest in granting the orders sought by the applicant and as such the prayer for conservatory relief does not arise. The dispute is purely private law claim founded on a commercial contract between private citizens.
p. 4Absence of public interest / nature of dispute
Consequently, and on a preponderance of evidence, I find that the claimant has not proved that her rights under her employment contract have been or are about to be breached by her redeployment to her former grade, and by the recruitment of a qualified marketing manager.
p. 4No prima facie case
even if the petitioner had established a prima facie case with probabil- ity of success, I don’t think injunction would have issued because the injury occasioned by the redeployment and transfer can still be quantified into monetary terms.
p. 5No irreparable harm
Consequently, his Notice of motion 26.9.2018 is dismissed with no costs.
p. 5Final orders/disposition

Issues in the judgment

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minor

Respondent's Honorary Secretary named inconsistently as 'Sylvia Gumo' and 'Sylvia Ngumo' in different paragraphs

minor

Applicant described variously as 'Petitioner/Applicant', 'claimant' and 'petitioner' within the same judgment

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, "Elizabeth Agutu Odhiambo v Waumini Sacco Society [2018] KEELRC 63 (KLR)", Case Analysis (2018). Notice of Motion dated 26th September 2018 (not stated in full in the judgment). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2018/63/eng@2018-12-20

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