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ELRCPartially AllowedNot stated in the judgment text (Petition dated 4th November 2024)

Gichuki v Kenya Power & Lighting Company PLC (Petition E021 of 2024) [2025] KEELRC 2578 (KLR)

Employment and Labour Relations Court
26 September 2025
3,611 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~14 min to read original · ~4 min brief

The bottom line

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A Kenyan court awarded a worker Kshs. 450,000 after 8 years on rolling 3-month contracts, but upheld her dismissal as fair.

What this practically means

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Executive summary

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The Petitioner was employed by the Respondent, a State electricity distributor, as a meter reader from 9th April 2015 on successive 3-month fixed-term contracts, serving continuously for 8 years and 2 months. She was summarily dismissed on 4th July 2023 after a security investigation found she had participated in constructing an illegal three-phase line metered with a stolen meter for a customer, Henry Mugambi Ongure. She petitioned the Court, claiming violations of Articles 27, 28, 29(f), 41 and 43, seeking declarations, quashing of the dismissal, reinstatement, computation of permanent and pensionable benefits, damages for malicious prosecution, interest and costs. The Respondent defended the dismissal as lawful and urged that the dispute was fully covered by the Employment Act. The parties agreed the matter be determined on pleadings, affidavits, documents and submissions. The Court held that repeated 3-month contracts over 8 years and 2 months amounted to casualization of labour, contrary to Article 41, the Employment Act, the Public Service Commission Act and the PSC Regulations 2020, warranting general damages of Kshs. 450,000 with interest. However, it found the dismissal procedurally fair under Section 41 and substantively justified under Sections 43 and 45, holding that her criminal acquittal on a technicality did not affect the disciplinary process. Prayers for quashing, reinstatement, benefit computations and malicious prosecution damages were declined. No order was made on costs.

Questions the Court framed

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

  1. 1.Whether the Petitioner's repeated extended 3-month contracts were in violation of fair labour practices
  2. 2.Whether the dismissal of the Petitioner was fair and lawful
  3. 3.Whether the Petition raises constitutional grievances
  4. 4.Whether the Petitioner merits the prayers sought

Key legal issues

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01

Whether repeated 3-month contracts over 8 years and 2 months violated the Petitioner's right to fair labour practices

Holding

Yes - the Respondent violated Article 41 by casualizing the Petitioner's employment

Reasoning

The Court held that meter reading is core work not temporary in nature, and repeated 3-month contracts have the same effect as casual employment, depriving the employee of job security and cumulative benefits. The Public Service Commission Act and Regulations 2020 prohibit such prolonged temporary engagement, permitting term contracts of at least 12 months. The Respondent, a State Corporation, exploited the Petitioner by using her on a core function without job security, even appointing her to supervise others.

p. 4
02

Whether the dismissal was procedurally fair

Holding

Yes - procedure complied with Section 41 of the Employment Act

Reasoning

The Petitioner recorded a statement, was issued a show-cause letter and responded, was invited for hearing with the right to be accompanied, was heard on 3rd May 2023, dismissed by letter dated 4th July 2023, and her appeal was heard and determined. The Court found the procedure met the minimum statutory standards of procedural fairness under Section 41.

p. 6
03

Whether the dismissal was for valid reasons

Holding

Yes - valid reasons existed under Sections 43 and 45 of the Employment Act

Reasoning

Evidence from investigations, witness statements and site inspections placed the Petitioner at the premises where the illegal line was constructed. She never denied involvement with Ongure and conceded meeting him; her good-faith defence did not deprive the Respondent of justification. Her criminal acquittal, which collapsed on prosecutorial ineptitude, had no bearing on the disciplinary process.

p. 7
04

Whether the Petition raises a constitutional grievance

Holding

Yes - in respect of Article 41 only

Reasoning

The Employment Act does not define unfair labour practices and regulates unfair acts mainly in relation to termination, so the Petitioner would be limited if confined to the Act. The Court doubted violations under other Articles but found adequate justification for the Article 41 claim.

p. 5

Legal principles established

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  • Engaging an employee on repeated short-term contracts over a prolonged period amounts to casualization of labour and violates the right to fair labour practices under Article 41
  • Where an employee has worked for a prolonged continuous period, the employment cannot be regarded as temporary
  • Acquittal in criminal proceedings does not bar or invalidate disciplinary proceedings, the two processes being separate and independent
  • Elements of malicious prosecution must all be established by the party alleging it

Court orders

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  1. 1.It is declared that the Respondent violated the Petitioner's constitutional rights under Article 41 of the Constitution, by employing her on repeated temporary contracts of 3-months, over a period of 8 years and 2 months
  2. 2.The Respondent shall pay to the Petitioner general damages for this violation, at Kshs. 450,000
  3. 3.Interest granted at court rate, from the date of Judgment, till payment is made in full
  4. 4.No order on the costs

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 Constitution and the Employment Act, 2007 (Articles 27, 28, 29(f), 41 and 43 of the Constitution invoked; delivered under Rule 68(5) of the E&LRC (Procedure) Rules, 2024)

Relief refused

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Declaration that dismissal was wrongful, unfair and unlawful

Termination was based on valid reasons and was procedurally and substantively fair

p. 7

Prayer for computation and payment of the difference between benefits paid and those payable on permanent and pensionable service

The prayer was generalized and lacked evidence; granting it would open a secondary dispute

p. 7

Order to quash the decision summarily dismissing the Petitioner

Not merited, termination having been carried out fairly, for valid reasons

p. 7

Reinstatement without loss of benefits

Termination was procedurally fair and substantively justifiable

p. 7

General damages for malicious prosecution

No evidence of malicious prosecution; prosecution was initiated on reasonable and probable cause and the Petitioner was acquitted on a technicality

p. 8

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.

It is obvious that having worked for 8 years and 2 months, the Petitioner cannot, by any stretch of imagination, have been serving on a temporary contract.
p. 4Temporary contracts
Offering short term contracts to Employees, for prolonged periods, is casualization of labour, which deprives Employees of job security and terminal benefits due to permanent and pensionable Employees.
Casualization of labour
The contracts were exploitative, and an unfair labour practice.
p. 4Unfair labour practice
The criminal case had no bearing on the disciplinary proceedings. It has no bearing on the Cause herein.
p. 7Criminal proceedings vs disciplinary proceedings
The Court is satisfied that termination was based on valid reasons, under Sections 43 and 45 of the Employment Act 2007.
p. 7Validity of dismissal
It is declared that the Respondent violated the Petitioner's constitutional rights under Article 41 of the Constitution, by employing her on repeated temporary contracts of 3-months, over a period of 8 years and 2 months.
p. 8Final orders - declaration
The Respondent shall pay to the Petitioner general damages for this violation, at Kshs. 450,000.
p. 8Final orders - damages

Issues in the judgment

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minor

Internal date inconsistency: Petitioner's reply to show-cause letter stated as 4th November 2023, months after the hearing date of 3rd May 2023

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, "Gichuki v Kenya Power & Lighting Company PLC (Petition E021 of 2024) [2025] KEELRC 2578 (KLR)", Case Analysis (2025). Not stated in the judgment text (Petition dated 4th November 2024). Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2025/2578/eng@2025-09-26

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