Skip to content
AI-generated case briefs sourced from Kenya Law · Not legal advice
AI-generated case brief
Case Brief · caselaw.co.ke
ELRCPartially AllowedNot stated in judgment (memorandum of claim filed 22nd March 2024)

Nyakongo v Kenya Forestry Research Institute (KEFRI) (Cause E018 of 2024) [2025] KEELRC 653 (KLR)

Employment and Labour Relations Court
4 March 2025
5,814 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~23 min to read original · ~4 min brief

The bottom line

#

A Kenyan employer can fire an employee even while criminal charges are pending, but skipping proper disciplinary procedure made this dismissal unfair.

What this practically means

#

Executive summary

#
The claimant, employed by the respondent from 1989 and based at its Kakamega Sub-centre, was interdicted on 21st August 2020 over the alleged forgery of the Assistant Regional Director's signature on payment vouchers, irregular payment of daily subsistence allowances and misuse of a vehicle fuel card, following an internal audit. He was charged in Kakamega Criminal Case No. E142 of 2021 and, after a disciplinary hearing on 15th October 2021, was summarily dismissed on 25th March 2022 while the criminal case was pending. He was acquitted of all counts on 26th July 2023, and sued seeking reinstatement, declarations that the dismissal was unfair, and various monetary reliefs totalling over Kshs.14 million. The court framed three issues: whether disciplinary proceedings could run concurrently with the criminal case; whether the termination was unfair; and entitlement to reliefs. On the first, applying established authorities, it held that disciplinary and criminal processes are independent, with different standards of proof, and the acquittal did not bind the employer; the respondent's internal process predated the charge. On substantive justification, the internal audit findings met the balance-of-probabilities standard under Section 43 and a reasonable employer could dismiss. However, on procedure the respondent failed to prove service of the hearing notice, proved no notice to show cause, kept deficient minutes and mishandled the appeal, rendering the termination procedurally unfair under Sections 41 and 45. Reinstatement was refused as impracticable; anticipatory salary, house allowance, leave pay and severance claims were declined. The court declared the dismissal unfair, awarded commuter allowance for days reported to office during interdiction and three months' gross salary (Kshs.277,188), and awarded the claimant 50% of the costs. Judgment delivered virtually at Kisumu on 4th March 2025 by Dr. Jacob Gakeri, Judge.

Questions the Court framed

#

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

  1. 1.Whether the respondent could undertake disciplinary proceedings against the claimant during the pendency of the criminal case
  2. 2.Whether termination of the claimant's employment by the respondent was unfair
  3. 3.Whether the claimant is entitled to the reliefs sought

Key legal issues

#
01

Concurrent disciplinary and criminal proceedings

Holding

The disciplinary process is not tied to the criminal process; an employer need not await the outcome of criminal proceedings based on the same facts, and an acquittal does not bind the employer

Reasoning

The court held that internal disciplinary proceedings are a private process between employer and employee aimed at protecting the business, while a criminal trial is a public process by the state. The two processes are independent with different standards of proof, and no provision of the Employment Act or PSC Regulations requires an employer to follow criminal investigations, findings or court decisions. Here the respondent's internal audit and interdiction preceded the charge by over a year.

p. 5
02

Substantive justification for termination

Holding

The respondent demonstrated on a balance of probabilities that it genuinely believed the claimant was guilty of gross misconduct, justifying summary dismissal under Section 44(4) of the Employment Act

Reasoning

An internal audit report implicated the claimant in forging the ARD's signature on payment vouchers, irregular payment of DSA using duplicate work tickets, and improper custody of the fuel card. Applying Section 43 and the range of reasonable responses test, the court found a reasonable employer could dismiss on those facts; the criminal standard did not apply to the employer's determination.

p. 9
03

Procedural fairness of termination

Holding

Termination was procedurally unfair: no notice to show cause, no proof of service of the hearing invitation, deficient minutes, and no proper handling of the appeal

Reasoning

The court found the respondent failed to show service of the hearing notice (the copy bore no acknowledgment), that no notice to show cause was proved, that the minutes of the disciplinary meeting lacked essential details, and that the Board dealt with a reinstatement request rather than the appeal, over a year after dismissal. Section 41 compliance is mandatory and Section 45(4) and (5) require justice and equity including proper handling of appeals.

p. 10
04

Appropriate reliefs and compensation

Holding

Reinstatement and most monetary claims declined; compensation limited to three months' gross salary under Section 49, plus commuter allowance for days reported to office during interdiction

Reasoning

Reinstatement was impracticable given the claimant's contribution to the separation and lack of evidence of a vacant position. Anticipatory earnings claims (salary, house allowance, leave pay to 2030) were rejected. Compensation was fixed at three months' gross salary because although the claimant served about 32 years, he substantially contributed to his dismissal by his conduct and refusal to provide a specimen signature or clear.

p. 12

Legal principles established

#
  • An employer may institute and conclude disciplinary proceedings against an employee during the pendency of a criminal case based on similar charges; the acquittal does not bind the employer's disciplinary process
  • The standard of proof in employer disciplinary proceedings is on a balance of probability, not beyond reasonable doubt, testing reasons the employer genuinely believed to exist
  • The range of reasonable responses test governs whether a dismissal is fair
  • A notice to show cause and actual service of the disciplinary hearing notice are essential to procedural fairness under Section 41 of the Employment Act

Court orders

#
  1. 1.Declaration that termination of the claimant's employment by the respondent was unfair for want of procedural propriety
  2. 2.Commuter allowance for the days he reported to the office during interdiction; respondent shall compute and pay
  3. 3.Equivalent of three months gross salary, Kshs.277,188.00
  4. 4.Claimant awarded 50% of the costs of the suit

The bench

#

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 and Labour Relations Court Act and Employment Act (specific enabling provision not quoted in judgment)

Relief refused

#

Reinstatement

Not practicable; claimant contributed to the separation, declined to provide a specimen signature, gave no evidence the position exists and is vacant, and no exceptional circumstance displacing the rule against specific performance of personal service contracts

p. 11

Unpaid half salary and salary to retirement (Kshs.845,802.00 and Kshs.10,981,592.00)

Claim for unearned, anticipatory earnings with no anchorage in law

p. 11

Leave pay allowance from 21.08.2020 to 04.04.2030 (Kshs.60,000.00)

Claim lacks particulars as to the nature, days, years or rate of leave pay claimed

p. 11

House allowance from dismissal till retirement (Kshs.1,592,600.00)

Patently unsustainable anticipatory earnings with no legal or factual justification

p. 12

Commuter allowance for the whole period of interdiction (Kshs.600,000.00)

Allowance not payable where claimant was not commuting; only payable for days he reported to the office during interdiction

p. 12

Reasonable damages for unlawful termination

No action in damages lies for termination of a contract of employment; compensation governed by Section 49 of the Employment Act, and only three months' gross salary awarded

p. 12

Retirement benefits

Respondent operated a contributory pension scheme administered separately; claimant to pursue the scheme administrator

p. 12

Reasonable severance pay

No particulars provided and severance pay is only payable in redundancy, not summary dismissal

p. 12

Costs

The claimant is awarded 50% of the costs of the suit

Quotable passages

#

Verbatim from the judgment, each located to the page it appears on in the official PDF — so these can be cited and checked directly.

nothing prevents an employer from instituting disciplinary proceedings against an employee during the pendency of a criminal case based on similar charges
p. 5Concurrent disciplinary and criminal processes
acquittal in a criminal case does not automatically render an employee immune to disciplinary action by an employer
p. 6Effect of acquittal on disciplinary action
In sum, it is the finding of the court that the respondent has failed to prove on a preponderance of probabilities that the termination of the claimant's employment was procedurally fair
p. 10Procedural fairness finding
a. Declaration that termination of the claimant's employment by the respondent was unfair for want of procedural propriety.
p. 12Final orders - declaration
c. Equivalent of three months gross salary, Kshs.277,188.00
p. 13Final orders - compensation
d. In the circumstances the claimant is awarded 50% of the costs of the suit.
p. 13Final orders - costs
A notice to show cause is essential as it notifies the employee the charges against him or her and accords the employee time and facilities to prepare a response
p. 9Section 41 procedure

Issues in the judgment

#
material

Name of the respondent employer is never stated in the judgment; parties are referred to only as claimant and respondent

minor

Claimant's name appears inconsistently as 'Seth Nyakango' and 'Seth Nyakangi'

minor

Date of the hearing notice is inconsistently given as 23rd February 2020 in the respondent's evidence and 23rd February 2002 in the analysis

minor

DK Njagi Marete V Teachers Service Commission citation year is misprinted as [202] eKLR

minor

Case title of James Mugera Igati cited with conflicting years [2014] and [2015] eKLR

material

Judgment bears the word 'DRAFT' at its foot

minor

Relief prayers contain typographical dates extending to '4.4.30' and '4.4.20230'

Key timeline

#

Practical implications

#

Frequently asked questions

#

Cite this brief

#

Cite this brief

Caselaw, "Nyakongo v Kenya Forestry Research Institute (KEFRI) (Cause E018 of 2024) [2025] KEELRC 653 (KLR)", Case Analysis (2025). Not stated in judgment (memorandum of claim filed 22nd March 2024). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2025/653/eng@2025-03-04

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