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ELRCPartially AllowedCause No. 1034 of 2016

Njanjo v Jomat Construction Limited (Cause 1514 of 2018) [2024] KEELRC 2171 (KLR)

Employment and Labour Relations Court
30 August 2024
2,007 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~8 min to read original · ~4 min brief

The bottom line

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A Kenyan employer who fires a worker for 'desertion' without proof or a disciplinary hearing must pay maximum compensation — here, Kshs 780,000.

What this practically means

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Executive summary

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The Claimant, engaged by the Respondent on 12th November 2012 with effect from 1st December 2012 and earning Kshs 60,000 monthly, sued for reinstatement or alternatively gratuity, notice pay, leave allowance, pay for days worked, 19 months' withheld salary (Kshs 1,140,000), and 12 months' compensation for unfair termination. He asserted his contract was terminated without notice on 8th July 2016, leaving him unable to pay rent and school fees. The Respondent denied unfair dismissal, asserting the Claimant deserted on 8th October 2015 and was informed by letter of 22nd January 2016 that his contract was terminated. It counterclaimed return of construction tools, equipment and materials, alleging he also owed Kshs 215,000. The Claimant testified; the Respondent closed its case without calling evidence, its only witness having died, and the Court questioned why the death of one witness would paralyse a limited liability company. The Court found no evidence of desertion: the Claimant, effectively a foreman with flexible attendance and custody of equipment, was recorded representing the Respondent at a tender opening in Nyandarua in early 2016. Internal memos personally delivered showed the Respondent could reach the Claimant, yet no disciplinary hearing preceded termination, breaching Sections 41, 43 and 45 of the Employment Act. The Counterclaim was declined. Reinstatement was legally impermissible; gratuity, leave allowance and pay for days worked lacked evidential support, and the 19 months' salary claim was disbelieved. Notice pay of Kshs 60,000 and maximum compensation of Kshs 720,000 were awarded, with costs to the Claimant. Judgment delivered on 30th August 2024.

Questions the Court framed

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

  1. 1.whether the Claimant's contract was terminated lawfully and fairly, or at all, by the Respondent
  2. 2.whether the Claimant merits the prayers sought
  3. 3.whether the Respondent has established its Counterclaim

Key legal issues

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01

Whether the Claimant deserted his employment

Holding

Desertion not proved; the Claimant was shown representing the Respondent at a tender opening in Nyandarua in early 2016

Reasoning

The Respondent adduced no evidence of desertion on 8th October 2015 or thereafter. The Claimant's role as foreman carried flexibility of attendance and custody of equipment, making abandonment implausible. He participated in a tender opening months after the alleged desertion date, undermining the Respondent's assertion.

p. 4
02

Whether termination followed fair procedure

Holding

Procedurally unfair under Sections 41 and 45; no disciplinary hearing was convened though the Respondent could reach the Claimant

Reasoning

Internal memos warning about absenteeism were personally delivered, showing the Respondent could communicate directly with the Claimant. Yet the termination letter was posted to Kiptangwanyi without explanation, and no disciplinary hearing preceded termination as Section 41 requires.

p. 4
03

Whether the Counterclaim for return of tools and equipment was established

Holding

Counterclaim declined; Respondent gave no evidence

Reasoning

The Respondent closed its case without calling evidence after its witness died. The Court rejected the suggestion that one witness's death paralysed a limited liability company. Consequently the unchallenged evidence of the Claimant stood, and the Counterclaim failed for want of proof.

p. 3
04

Appropriate remedies

Holding

Notice pay of Kshs 60,000 and maximum 12 months' compensation of Kshs 720,000; reinstatement, gratuity, leave allowance, days worked and 19 months' salary refused

Reasoning

Reinstatement was time-barred and impracticable. Compensation at the maximum was merited given no contributory fault, no rebutting evidence, and over ten years of service. Other heads lacked evidential or contractual foundation, including the 19 months' arrears claim.

p. 5

Legal principles established

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  • An employer asserting desertion bears the evidential burden of proving it; termination without valid reasons breaches Sections 43 and 45 of the Employment Act
  • Where an employer can reach an employee to issue warnings, a disciplinary hearing must be convened before termination; failure breaches Section 41 and renders termination procedurally unfair
  • Maximum compensation under Section 49 is justified where the employee did not contribute to termination, the employer leads no evidence, and the employee has long service

Court orders

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  1. 1.The Counterclaim is declined
  2. 2.It is declared that termination of the Claimant's contract was initiated by the Respondent and was unfair and unlawful
  3. 3.The Respondent shall pay to the Claimant notice at Kshs 60,000 and equivalent of 12 months' salary in compensation for unfair termination at Kshs 720,000, total Kshs 780,000
  4. 4.Costs to the Claimant

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 under the Employment Act and Labour Relations Act (original jurisdiction over employment dispute)

Relief refused

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Reinstatement

Not legally permissible, termination having taken place in 2016; neither reasonable nor practicable

p. 4

Gratuity, annual leave traveling allowance, and pay for days worked

No contractual clause or legal provision cited; days worked not specified

p. 4

Salary arrears for 19 months (Kshs 1,140,000)

Claimant did not specify which months' salary went unpaid; conduct inconsistent with an employee owed 19 months' salary

p. 4

Costs

Costs to the Claimant.

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.

It is declared that termination of the Claimant's contract was initiated by the Respondent and was unfair and unlawful.
p. 5declaration of unfair termination
The Respondent shall pay to the Claimant: notice at Kshs 60,000; and equivalent of 12 months’ salary in compensation for unfair termination at Kshs 720,000 – total Kshs 780,000.
p. 5final orders - remedies
There is therefore no evidence that the Claimant deserted. Termination was instigated by the Respondent. It was not based on valid reasons, under Sections 43 and 45 of the Employment Act.
p. 4desertion and valid reason
Procedure was not in conformity with Sections 41 and 45 of the Employment Act.
p. 4procedural fairness
The Counterclaim is declined.
p. 3counterclaim dismissed for want of evidence

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, "Njanjo v Jomat Construction Limited (Cause 1514 of 2018) [2024] KEELRC 2171 (KLR)", Case Analysis (2024). Cause No. 1034 of 2016. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2024/2171/eng@2024-08-30

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