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ELRCDismissedCause No. 215 of 2015

Lukas Otando Keya v Timbercraft (E.A) [2020] KEELRC 1100 (KLR)

Employment and Labour Relations Court of Kenya
11 May 2020
1,619 words in judgment
View original judgmentRead on Kenya Law Watch case
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·~6 min to read original · ~4 min brief

The bottom line

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A Kenyan employee who resigned during sick leave lost his entire unfair termination claim, proving resignations bar such lawsuits.

What this practically means

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Executive summary

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The claimant, employed by the respondent as a carpenter from 1994 at Ksh.562 per day, sued for unfair termination and discrimination on medical grounds, claiming 20 years' annual leave pay, notice pay, compensation, gratuity and costs. He alleged that on 11th September 2014 he fell ill with a knee problem, obtained a doctor's recommendation for leave, was granted 14 days' sick leave, and was then dismissed when he sought an extension. The respondent denied dismissal, asserting that the medical letter from Dr Etemesi was forged, that the claimant resigned voluntarily on 23rd September 2014 upon discovery of the forgery, and that his terminal dues were calculated and paid with Labour Officer oversight, including service pay and pro-rated leave. The court framed two issues: whether there was unfair termination, and whether remedies should issue. It found the claimant had tendered his resignation during his sick leave and had never contested that it was forced or involuntary, so he ended his own employment and could not claim unfair termination, discrimination, notice pay or compensation. Annual leave pay for 2011-2013 had been paid and acknowledged, and pro-rated 2014 leave was included in the tabulated dues. The court held the suit amounted to a rush claim geared towards unjust enrichment, dismissed the claim in its entirety and awarded costs to the respondent.

Questions the Court framed

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

  1. 1.Whether there was unfair termination of employment
  2. 2.Whether the remedies sought should be granted

Key legal issues

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01

Whether there was unfair termination of employment

Holding

No unfair termination; the claimant resigned voluntarily during his sick leave, ending his own employment

Reasoning

The claimant tendered a resignation letter dated 23rd September 2014 while still on 14 days' sick leave, two days before the leave lapsed. He never contested that the resignation was forced or involuntary, and there was no claim that wages were unpaid during sick leave. His assertion that he was dismissed for seeking extension of sick leave was unsupported, as he had not tendered any application for extension. His own act ended the employment.

p. 2
02

Whether the claimant was discriminated against on account of health status

Holding

The discrimination claim fails as it lacks foundation

Reasoning

Since the claimant himself resigned during his sick leave and did not contest that the resignation was voluntary, there was no employer act of termination on medical grounds to found a discrimination claim. The court characterised the averments of unfair termination and medical discrimination as misguided and without foundation.

p. 2
03

Whether the remedies sought (annual leave, notice pay, compensation, gratuity) should be granted

Holding

All remedies refused; terminal dues were already tabulated and paid under Labour Officer supervision, and leave pay was acknowledged

Reasoning

The claimant acknowledged payment of terminal dues witnessed by the Labour Officer, including service pay at 15 days per year and pro-rated leave for 2014. Leave for 2011-2013 was paid via the December 2013 voucher and acknowledged. Having ended his own employment, he could not claim notice pay or compensation. The suit was an attempt at unjust enrichment.

p. 3

Legal principles established

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  • An employee who resigns from employment cannot claim unfair termination, discrimination, notice pay or compensation
  • Taking or payment in lieu of annual leave is addressed under section 28(2) of the Employment Act, 2007

Court orders

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  1. 1.The claim is dismissed in its entirety
  2. 2.Costs to the respondent

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 claims

Relief refused

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Notice pay

The claimant ended his own employment by resigning, so notice pay was not payable to him

p. 2

Compensation for unfair termination

No unfair termination; the claimant resigned voluntarily

p. 2

Annual leave pay for 20 years

Leave pay for 2011-2013 was paid and acknowledged, and pro-rated leave for 2014 was included in tabulated terminal dues

p. 3

Gratuity for 20 years

Terminal dues including service pay were calculated and paid under the witness of the Labour Officer

p. 3

Costs

Costs to the respondent

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.

Accordingly, the claim is hereby dismissed in its entirety. Costs to the respondent.
p. 3final orders - dismissal and costs
Without contesting the resignation was forced or involuntary for any reason(s), such action ended employment.
p. 2resignation ends employment
On this basis, the claimant ended own employment with the respondent and cannot claim there was unfair termination of employment or that there was discrimination against him on medical grounds
p. 2no unfair termination or discrimination where employee resigns
In terms of section 28(2) of the Employment Act, 2007 taking and or payment for annual leave is addressed.
p. 3annual leave under section 28(2) Employment Act
to thus file suit and make the claim herein is to engage in rush claims geared towards unjust enrichment and therefore should pay costs to the respondent.
p. 3unjust enrichment and costs

Issues in the judgment

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minor

Internal date inconsistencies: the claimant's sick leave said to begin 11th September 2014 is described as ending on 25th April 2014, and the resignation is dated 23rd September 2014 in one passage but 23rd April 2014 in another

minor

The claim describes 11th September 2014 as the date of alleged dismissal, but elsewhere states the claimant's last day at work was 18th October 2014

minor

The defence evidence states the claimant 'worked for 66 days each week', an evident typographical error

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, "Lukas Otando Keya v Timbercraft (E.A) [2020] KEELRC 1100 (KLR)", Case Analysis (2020). Cause No. 215 of 2015. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2020/1100/eng@2020-05-11

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