[2024] KEELRC 2790 (KLR)

[2024] KEELRC 2790 (KLR)

The court found that the respondent failed to comply with the mandatory redundancy procedures under Section 40 of the Employment Act, including issuing proper notice to the union and labour office and paying terminal dues. The respondent did not file work records or attend the hearing to justify the redundancy or...

Source-derived case information.

Citation
[2024] KEELRC 2790 (KLR)
Parties
Applicant: Kenya Union of Domestic, Hotels, Educational Institutions And Hospital Workers; Respondent: Game On Solutions (K) Limited
Court
Employment and Labour Relations Court
Court Station
Employment and Labour Relations Court at Mombasa
Jurisdiction
Kenya
Case Number
Cause E081 of 2021
Procedural Posture
Employment Cause / Judgment
Outcome
Claim allowed in favour of the claimant and grievants.
Judges
M Mbarũ
Legal Topics
Redundancy Procedure, Unfair Termination, Terminal Dues, Collective Bargaining, Notice Pay, Severance Pay
Source Language
en
Employment and Labour Redundancy Procedure Unfair Termination Terminal Dues Collective Bargaining Notice Pay Severance Pay

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Parties

Kenya Union of Domestic, Hotels, Educational Institutions And Hospital Workers

Applicant

Game On Solutions (K) Limited

Respondent

Procedural Posture

Employment Cause / Judgment

  1. 1 Whether the termination of the grievants' employment was wrongful and unfair on account of redundancy.
  2. 2 Whether the respondent complied with the statutory redundancy procedure under Section 40 of the Employment Act.
  3. 3 Whether the grievants are entitled to compensation, severance pay, notice pay, leave pay, and costs.

Ratio Decidendi

The court found that the respondent failed to comply with the mandatory redundancy procedures under Section 40 of the Employment Act, including issuing proper notice to the union and labour office and paying terminal dues. The respondent did not file work records or attend the hearing to justify the redundancy or demonstrate payment of dues. The court held that, while redundancy for operational reasons is permissible, the process must comply with statutory requirements. The absence of due process and failure to pay terminal dues rendered the termination unfair and wrongful. The grievants were entitled to compensation equivalent to six months' pay, one month's notice pay, severance pay at...

Court Disposition

Claim allowed in favour of the claimant and grievants.

Orders

  • Declaration of wrongful and unfair termination of employment.
  • Award of compensation at six months' gross wage for each grievant.