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ELRCPartially AllowedNot stated in the judgment as supplied

Aduo v New Kenya Cooperative Creameries Limited (Cause E021 of 2023) [2025] KEELRC 1218 (KLR)

Employment and Labour Relations Court
30 April 2025
2,638 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~11 min to read original · ~4 min brief

The bottom line

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A Kericho court found a dismissal unfair because the employer gave no proper written notice of the disciplinary hearing and no proven reason, awarding Kshs. 452,000.

What this practically means

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Executive summary

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The Claimant, employed by the Respondent as a Sales Representative from 1st September 2019, challenged the termination of his employment on 15th June 2021 on grounds of absconding, failure to follow instructions, and falsification of documents. He sought notice pay, 12 months' compensation, severance, house allowance, leave and public holiday pay, exemplary damages and a Certificate of Service. The Respondent maintained that the dismissal was for gross misconduct and that the Claimant failed to account for money owed. The Court framed three issues: procedural fairness under Sections 41 and 45, valid reason under Sections 43 and 45 of the Employment Act, and remedies. It found the disciplinary procedure flawed: the initial hearing was scheduled by a phone call one day in advance, without written invitation detailing charges, without advice of the right to accompaniment, and with no minutes; the appellate hearing notice was similarly short, with no record of findings. On substance, the reconciliation charge was not objectively investigated - the transfer was with immediate effect, the alleged shortfall was variously stated, and the absconding and falsification charges were introduced mid-process and unproven; the conflicting hospital documents were disregarded as their authors were not called. Termination was declared unfair. The Claimant was awarded one month's notice pay (Kshs. 113,000) and three months' compensation (Kshs. 339,000), totalling Kshs. 452,000. Severance, house allowance, leave, public holiday pay and exemplary damages were refused for want of evidence or merit. A Certificate of Service was ordered to issue, no order was made on costs, and interest was allowed at court rate from the date of judgment.

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 of employment was terminated on a fair procedure (Sections 41 and 45 of the Employment Act)
  2. 2.Whether termination was founded on valid reason (Sections 43 and 45 of the Employment Act)
  3. 3.Whether the Claimant merits the prayers sought

Key legal issues

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01

Fairness of disciplinary procedure

Holding

Procedure was flawed - improper and insufficient notice of the disciplinary hearing, no written invitation with charges, no advice of accompaniment rights, no minutes, and inconsistently amended dates on show-cause letters

Reasoning

The Claimant was called by phone one day before the initial hearing with no written invitation detailing charges, and received the appellate hearing invitation two days before that hearing. There were no minutes showing how evidence was recorded or findings made. Show-cause letter dates were amended inconsistently. This fell short of the procedural fairness required under Sections 41 and 45 of the Employment Act.

p. 4
02

Validity of reasons for termination

Holding

Termination lacked valid reasons - the reconciliation charge was not objectively investigated, the amount owed was inconsistently stated, and the absconding and falsification charges were introduced mid-process and unproven

Reasoning

The transfer with immediate effect left the Claimant no time to reconcile accounts, the amounts alleged unaccounted for varied between figures, and the absconding and falsification charges arose during the ongoing disciplinary process without proper investigation. The conflicting hospital documents could not be relied upon as their authors were not called to testify. Sections 43 and 45 were therefore not satisfied.

p. 5
03

Remedies for unfair termination

Holding

One month's notice pay and 3 months' salary compensation awarded; house allowance, leave, severance, public holidays and exemplary damages refused for want of evidence or merit; Certificate of Service to issue

Reasoning

The Claimant worked 1½ years and was not shown to have contributed to the termination; compensation was fixed at 3 months. He gave no adequate evidence on house allowance, leave, severance or public holiday pay, and there was no redundancy justifying severance. Exemplary damages were declined as the breach was adequately redressed compensatorily.

p. 6

Legal principles established

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  • Notice of a disciplinary hearing must be proper, adequate and in writing with details of the charges, and the employee must be advised of the right to be accompanied by a colleague or trade union representative
  • Allegations of misconduct introduced in the course of a disciplinary process must be properly investigated and established
  • Where an employee cannot be shown to have contributed to the termination and worked a short period, compensation under Section 49 is moderated

Court orders

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  1. 1.It is declared that termination was unfair
  2. 2.The Respondent shall pay the Claimant 1-month salary in lieu of notice at Kshs. 113,000 and compensation for unfair termination equivalent of 3 months' salary at Kshs. 339,000 - total Kshs. 452,000
  3. 3.Certificate of Service to issue
  4. 4.No order on the costs
  5. 5.Interest allowed at court rate, from the date of Judgment till payment is made in full

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 (Sections 41, 43 and 45 cited in the judgment)

Relief refused

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12 months' salary compensation for unfair termination

Claimant worked only 1½ years; 3 months awarded instead

p. 6

Severance pay at 15 days' salary per year

There was no redundancy

p. 6

House allowance, outstanding leave and unpaid public holidays

No adequate evidence supplied

p. 6

Exemplary damages for unfair labour practice

Respondent's conduct was a mere contractual breach adequately redressed by compensatory award

p. 6

Costs

No order on the 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.

Procedure was fiawed, with improper and insuficient notice of the disciplinary hearing given to the Claimant.
p. 4Procedural fairness under Section 41
Termination was unfair for want of valid reason[s], under Sections 43 and 45 of the Employment Act.
p. 5Validity of reasons
It is declared that termination was unfair.
p. 6Final orders - declaration
The Respondent shall pay to the Claimant, 1-month salary in lieu of notice at Kshs. 113,000 and compensation for unfair termination equivalent of 3 months' salary at Kshs. 339,000- total Kshs. 452,000.
p. 6Final orders - award
No order on the costs.
p. 6Final orders - costs

Issues in the judgment

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minor

Internal inconsistency in the dates on the show-cause letters, acknowledged by the court itself

minor

The judgment states the Claimant was dismissed on 15th June 2021 while the Respondent's pleading states his contract was terminated on 20th September 2021

minor

Inconsistent figures for the amount allegedly unaccounted for

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, "Aduo v New Kenya Cooperative Creameries Limited (Cause E021 of 2023) [2025] KEELRC 1218 (KLR)", Case Analysis (2025). Not stated in the judgment as supplied. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2025/1218/eng@2025-04-30

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