[2021] KEELRC 158 (KLR)

[2021] KEELRC 158 (KLR)

The court found that the respondent unilaterally reduced the grievants' salaries and withdrew allowances after they joined the union, without consultation or consent, contrary to Section 10(5) of the Employment Act and the applicable CBA. The CBA did not envisage reduction of salaries for employees earning above the...

Source-derived case information.

Citation
[2021] KEELRC 158 (KLR)
Parties
Applicant: Bakery Confectionery Food Manufacturing and Allied Workers Union (K); Respondent: Kenafric Industries Limited
Court
Employment and Labour Relations Court
Court Station
Employment and Labour Relations Court at Nairobi
Jurisdiction
Kenya
Case Number
Cause E687 of 2020
Procedural Posture
Employment Cause / Judgment
Outcome
Claim allowed in part; declarations issued; reinstatement and payment of salary increments ordered; compensation denied; costs awarded to claimant.
Judges
DO Ogal
Legal Topics
Collective Bargaining Agreements, Unilateral Variation of Contract, Discrimination on Union Membership, Salary and Allowance Adjustments, Consultation Requirements, Constitutional Labour Rights
Source Language
en
Employment and Labour Collective Bargaining Agreements Unilateral Variation of Contract Discrimination on Union Membership Salary and Allowance Adjustments Consultation Requirements Constitutional Labour Rights

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Parties

Bakery Confectionery Food Manufacturing and Allied Workers Union (K)

Applicant

Kenafric Industries Limited

Respondent

Procedural Posture

Employment Cause / Judgment

  1. 1 Whether the reduction of basic salary, house allowance, and withdrawal of communication allowance upon joining the union violated the CBA, individual contracts, and employment laws.
  2. 2 Whether the respondent's actions violated the grievants' constitutional rights under Article 27(5) and Article 41(2) of the Constitution.
  3. 3 Whether the grievants are entitled to reinstatement of salary increments and payment of unlawfully varied salaries.

Ratio Decidendi

The court found that the respondent unilaterally reduced the grievants' salaries and withdrew allowances after they joined the union, without consultation or consent, contrary to Section 10(5) of the Employment Act and the applicable CBA. The CBA did not envisage reduction of salaries for employees earning above the minimum rates; instead, wage increments were to be based on the existing higher salary. The respondent's actions amounted to an unfair labour practice and violated the grievants' rights to fair labour practices and non-discrimination under Articles 41 and 27(5) of the Constitution. The court held that the respondent's justification based on harmonization was misplaced, as the...

Court Disposition

Claim allowed in part; declarations issued; reinstatement and payment of salary increments ordered; compensation denied; costs awarded to claimant.

Orders

  • Declaration that the respondent's actions violated the grievants' constitutional rights under Article 27(5) and Article 41(2)(c) of the Constitution.
  • Order for immediate reinstatement of the grievants' salary increments on basic salary, house allowance, and communication allowance for those still in employment.