Skip to content
AI-generated case briefs sourced from Kenya Law · Not legal advice
AI-generated case brief
Case Brief · caselaw.co.ke
ELRCOtherNot stated in the judgment· [2025] KEELRC 2855 (KLR)

Owino v Raicha’s Electro Services Limited (Cause E518 of 2024) [2025] KEELRC 2855 (KLR)

Employment and Labour Relations Court of Kenya
23 October 2025
632 words in judgment
View original judgmentRead on Kenya Law Watch case
AI-assisted case brief
·~3 min to read original · ~4 min brief

The bottom line

#

A Kenyan employment court ruled that low-earning workers' claims can be heard in either the ELRC or magistrates' courts, so such suits get transferred, not thrown out.

What this practically means

#

Executive summary

#
The Respondent filed a Notice of Preliminary Objection dated 28th March 2025 seeking striking out of the Claimant's employment claim on the ground that, under Gazette Notice No. 6024 of 22nd June 2018, employment disputes where the employee's gross monthly pay does not exceed Kshs.80,000 fall within the jurisdiction of magistrates of the rank of Senior Resident Magistrate and above. The Respondent asserted the Claimant was a casual employee earning Kes.840 per day. The Claimant opposed, arguing that if the court found itself bereft of jurisdiction, the just course was transfer of the claim to a magistrates' court rather than dismissal. Both parties filed submissions. Baari J framed the sole issue as whether the ELRC has jurisdiction over the claim. Relying on the classic statement in Owners of Motor Vessel 'Lilian S' v Caltex Oil (Kenya) Limited, the court acknowledged that jurisdiction stems from the Constitution or statute, and that the ELRC's jurisdiction flows from Article 162(1)(2)(a) and Section 12 of the ELRC Act. The court held that the Gazette Notice and Section 7 of the Magistrates' Act donate concurrent, not exclusive, jurisdiction to the magistracy over employment disputes within the Kshs.80,000 threshold; the delegation does not divest the ELRC of jurisdiction. Since the Claimant's salary at termination was below Kshs.80,000, the court held transfer, not striking out, was the appropriate remedy given a competent suit was already before it. The court ordered the suit transferred to the magistrates' court and directed that each party bear their own costs.

Key legal issues

#
01

Whether the ELRC has jurisdiction over an employment claim where the claimant's gross monthly pay does not exceed Kshs.80,000 given Gazette Notice No. 6024 of 22nd June 2018 and Section 7 of the Magistrates' Act

Holding

The ELRC retains jurisdiction; the magistracy's jurisdiction is concurrent, so the proper remedy is transfer, not striking out

Reasoning

The court accepted that the Gazette Notice and Section 7 of the Magistrates' Act confer jurisdiction on Senior Resident Magistrates and above over employment disputes where gross monthly pay does not exceed Kshs.80,000. However, the ELRC's own jurisdiction under Article 162(1)(2)(a) and Section 12 of the ELRC Act is untouched. Since a competent suit is pending before the ELRC, the appropriate course is transfer to the magistrates' court rather than dismissal.

p. 2

Legal principles established

#
  • Jurisdiction is conferred by the Constitution, statute or both, and a court must down its tools once it finds it lacks jurisdiction
  • The Chief Justice's delegation under Gazette Notice No. 6024 of 22nd June 2018 and Section 7 of the Magistrates' Act donates concurrent jurisdiction to magistrates in employment disputes where gross monthly salary does not exceed Kshs.80,000; it does not oust the ELRC's jurisdiction

Court orders

#
  1. 1.The suit herein be and is hereby transferred for hearing and determination before the Magistrates court.
  2. 2.Parties shall bear their own costs.

Authorities

#

Legislation

  • Constitution of KenyaArticle 162(1)(2)(a)
  • Employment and Labour Relations Court ActSection 12
  • Magistrates' ActSection 7
  • Gazette Notice No. 6024 (Vol. CXX No. 74) of 22nd June 2018Appointment of magistrates to hear employment disputes up to Kshs.80,000 gross monthly pay

Cases cited (1)

  • Owners of Motor Vessel “Lilian S” –vs- Caltex Oil (Kenya) Limited
    [1989]
Jurisdiction invoked
Article 162(1)(2)(a) of the Constitution and Section 12 of the Employment and Labour Relations Court Act

Key timeline

#

Practical implications

#

Frequently asked questions

#

Cite this brief

#

Cite this brief

Caselaw, "Owino v Raicha’s Electro Services Limited (Cause E518 of 2024) [2025] KEELRC 2855 (KLR)", Case Analysis (2025). Not stated in the judgment. Source: https://new.kenyalaw.org/akn/ke/judgment/keelrc/2025/2855/eng@2025-10-23

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