[2017] KEELRC 379 (KLR)
The court found that the respondent failed to provide evidence of payment of the notice pay as alleged. The court held that PAYE deductions are lawful and mandatory, but the assertion of prior payment of notice pay was not substantiated by evidence. The court emphasized that review of judgment is only permissible...
Source-derived case information.
- Citation
- [2017] KEELRC 379 (KLR)
- Parties
- Claimant: David Mbugua Ngugi; Respondent: Registered Trustees of the Presbyterian Church of East Africa
- Court
- Employment and Labour Relations Court
- Court Station
- Employment and Labour Relations Court at Nairobi
- Jurisdiction
- Kenya
- Case Number
- Cause 1518 of 2011
- Procedural Posture
- Review Application / Ruling on Application for Review and Stay of Execution
- Outcome
- application dismissed with costs to the claimant
- Legal Topics
- Review of Judgment, Statutory Deductions, Notice Pay, Compensation for Unfair Termination
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
David Mbugua Ngugi
Claimant
Registered Trustees of the Presbyterian Church of East Africa
Respondent
Procedural Posture
Review Application / Ruling on Application for Review and Stay of Execution
Legal Issues
- 1 Whether the court should review its judgment delivered on 17th May, 2013 based on alleged double payment and statutory deductions.
- 2 Whether the respondent provided sufficient evidence of payment of notice pay to the claimant.
- 3 Whether there is sufficient cause or error apparent on the record to warrant review of the judgment.
Ratio Decidendi
The court found that the respondent failed to provide evidence of payment of the notice pay as alleged. The court held that PAYE deductions are lawful and mandatory, but the assertion of prior payment of notice pay was not substantiated by evidence. The court emphasized that review of judgment is only permissible where there is discovery of new and important matter, error apparent on the record, or sufficient cause, none of which were demonstrated by the respondent. The court concluded that there was no sufficient ground to review its judgment and orders of 17th May, 2013. The application for review was therefore dismissed with costs to the claimant, and the parties were directed to...
Court Disposition
application dismissed with costs to the claimant
Orders
- The respondent's application for review is dismissed with costs to the claimant.
- Parties shall attend before the taxing master for assessment of the due costs payable to the claimant to date.
Full Case Text
Judgment text and source record
43 paragraphs
REPUBLIC OF KENYA
IN THE EMPLOYMENT AND LABOUR RELATIONS COURT OF KENYA AT NAIROBI
CAUSE NO.1518 OF 2011
DAVID MBUGUA NGUGI …………………………..……..CLAIMANT
VERSUS
REGISTEED TRUSTEES OF THE PRESBYTERIAN
CHURCH OF EAST AFRICA……..........……………...RESPONDENT
RULING
The respondent, Registered Trustees of the Presbyterian Church of East Africa by application dated 28th January, 2014 and seeking for orders that;
a) The court be pleased to give further directions on and/or review the judgement delivered on the 7thof May, 2013.
b) Pending hearing of the hereinabove, there be a temporary stay of execution of the judgement herein.
c) Costs be provided for.
The application is supported by the affidavit of A N Thangei advocate for the respondent and on the grounds that the claimant in the judgement of 7th September, 2013 had claimed for reinstatement to employment and in the alternative for payment of 12 months’ salary as compensation for unfair termination, severance pay, notice pay and unpaid allowances. Both parties were heard and the court delivered judgment. The orders made are for the respondent to pay compensation for Kshs.662, 870. 00; notice pay of Kshs.198, 861. 00; unpaid allowances Kshs.500, 000. 00 and all amounting to Kshs.1, 361,731. 00.
The amount of Kshs.342, 793. 00 was paid to the Kenya Revenue Authority as PAYE. Notice pay had been paid at kshs.198, 861. 00 and upon judgement the respondent paid Kshs.820, 077. 00 to the claimant. To thus pay the total amount claimed at kshs.1, 361,731. 00 would be double punishment and prejudicial to the respondent. The judgement should thus be reviewed.
In reply the claimant filed a Replying Affidavit dated 12th February, 2014.
Both parties filed written submissions.
The claimant in reply submits that on 17th May, 2013 the court entered judgement herein and awarded the claimant as follows;
Compensation at kshs.662, 870. 00
Notice pay Kshs.198, 861. 00
Unpaid allowances Kshs.500, 000. 00
Total Kshs.1, 361,731. 00
On the respondents application there is assertion that a PAYE amount of Kshs.342, 793. 00 was paid and that Kshs.198, 861. 00 was as notice pay.
There is no proof of the payment of notice pay of kshs.198, 861. 00 as alleged.
By decree obtained on 13th December, 2013 the respondent was ordered to pay the total sum and three instalments have been paid as follows;
Decretal sum Costs taxed Less paid Less taxes Less costs Interest to date Due
Kshs.1, 361,731. 00
Kshs.174, 956. 00
Kshs.820, 000. 00
Kshs.342, 973. 00
paid Kshs.174, 956. 00
Kshs.95, 403. 84
Kshs 294, 161. 84
Determination
The court will review its orders, judgement or ruling where there is discovery of an important matter which was not within the knowledge of the person so as to be produced before judgement was read. Also the court will review its judgement where there is a misstate or error apparent on the record, there is breach of the law, there is need for clarification or where there is a sufficient cause or reason that warrant the court to review the orders made. The process on how to make application in this regard is regulated under the Court Rules, the Employment and Labour Relations Court (Procedure) Rules, 2016 and at the time the subject application was filed, the applicable Rules were the Industrial Court (Procedure) Rules, 2010.
It is trite that all employment dues paid to an employee are subject to statutory deductions. Section 49(2) read together with section 19 of the Employment Act, 2007 every employer is required to make all lawful deductions from an employee salary.
PAYE deductions is therefore lawful and a mandatory requirement on every employer.
Noting the above, the averment by the respondent that notice pay of Kshs.198, 861. 00 has been paid to the claimant is a matter of evidence. No evidence is attached to confirm payment of the notice pay ordered by the court. Where such an amount was paid before judgement read on 17th May, 2013, such are matters the court was not appraised and thus not part of the court record.
On the costs assessed and due and part of the decree issued by the court, parties attended before the taxing master and the due amounts are within the knowledge of the respondent. I find no sufficient matter for the court to review its judgement and orders of 17th May, 2013.
Accordingly, application by the respondent is without merit and the same is dismissed with costs to the claimant save that parties shall attend before the taxing master for assessment of the due costs payable to the claimant to date.
Dated and delivered in open court at Nairobi this 27th day of July, 2017.
M. MBARU JUDGE
In the presence of:
Lillian Njenga and David Muturi – Court Assistants