[2015] KEELRC 446 (KLR)
The court found that the termination of the claimants' employment was a redundancy as defined under Section 40 of the Employment Act, 2007. The respondent was required to follow the statutory procedure for redundancy, including payment of severance pay, notice, and other terminal dues. The court held that the...
Source-derived case information.
- Citation
- [2015] KEELRC 446 (KLR)
- Parties
- Applicant: Margaret Njoki Mburu; Applicant: Joyce Wairimu Njoroge; Applicant: Elizabeth Robi Iregi; Applicant: Silpha Muthoni Githua; Applicant: Leah Muthoni Njoroge; Respondent: Thuita Investment Company Limited
- Court
- Employment and Labour Relations Court
- Court Station
- Employment and Labour Relations Court at Nyeri
- Jurisdiction
- Kenya
- Case Number
- Cause 59, 60,61,62 & 63 of 2015
- Procedural Posture
- Employment Cause / Judgment
- Outcome
- judgment for the claimants in part
- Judges
- B Ongaya
- Legal Topics
- Redundancy Procedure, Unfair Termination, Severance Pay, Annual Leave Entitlement
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
Margaret Njoki Mburu
Applicant
Joyce Wairimu Njoroge
Applicant
Elizabeth Robi Iregi
Applicant
Silpha Muthoni Githua
Applicant
Leah Muthoni Njoroge
Applicant
Thuita Investment Company Limited
Respondent
Procedural Posture
Employment Cause / Judgment
Legal Issues
- 1 Whether the termination of the claimants' employment constituted redundancy under the Employment Act, 2007.
- 2 Whether the respondent followed the correct procedure for redundancy as required by law.
- 3 Whether the claimants are entitled to severance pay, pay in lieu of leave, and other terminal dues.
Ratio Decidendi
The court found that the termination of the claimants' employment was a redundancy as defined under Section 40 of the Employment Act, 2007. The respondent was required to follow the statutory procedure for redundancy, including payment of severance pay, notice, and other terminal dues. The court held that the claimants were entitled to pay in lieu of annual leave due but not taken, one month pay, and severance pay for each completed year of service at the rate of 15 days (half month salary) per year, less any amounts already paid through the labour officer. The court dismissed other claims for lack of evidence. Judgment was entered in favour of the claimants for the specified dues, with...
Court Disposition
judgment for the claimants in part
Orders
- The claimants to compute, file and serve by 16.10.2015 the money due as found in the judgment for recording in court on 23.10.2015.
- The respondent to pay each claimant the computed money by 1.12.2015, failing which interest at court rates to be paid from the date of suit until full payment.
Full Case Text
Judgment text and source record
30 paragraphs
REPUBLIC OF KENYA
IN THE EMPLOYMENT AND LABOUR RELATIONS COURT OF KENYA AT NYERI
CAUSE NO. 59 OF 2015 CONSOLIDATED WITH CAUSES 60, 61, 62 AND 63 ALL OF 2015
MARGARET NJOKI MBURU...............................1ST CLAIMANT
JOYCE WAIRIMU NJOROGE.............................2ND CLAIMANT
ELIZABETH ROBI IREGI......................................3RD CLAIMANT
SILPHA MUTHONI GITHUA................................4TH CLAIMANT
LEAH MUTHONI NJOROGE................................5TH CLAIMANT
VERSUS
THUITA INVESTMENT COMPANY LIMITED....RESPONDENT
(Before Hon. Justice Byram Ongaya on Friday 9th October, 2015)
JUDGMENT
Each of the claimants filed a statement of claim on 15. 04. 2015 through Mwaniki Warima & Company Advocates. The respondent filed a statement of response against each of the statements of claims. The suits were consolidated and heard together.
The parties agreed that the suits be determined on the basis of the pleadings, documents and affidavits on record. The court has considered the material on record and observes the following facts of the cases:
The claimants were employed on diverse dates as general workers.
Each claimant was served with a month’s notice that the employment would come to an end due to respondent’s reduced operations.
Each claimant was dissatisfied with the termination and they filed present suits claiming and praying for a declaration that the termination was unfair as the respondent did not follow laid down procedures; damages, leave due and not taken, public holidays, house allowance, severance pay and compensation for loss of employment.
The court finds that section 40 of the Employment Act, 2007 on redundancy applied to the claimants’ termination from employment. Accordingly the court finds that each claimant is entitled as follows:
Pay in lieu of annual leave due but not taken.
One month pay.
Severance pay for each completed year served at 15 days (half month salary) for each completed year.
Less amount each claimant was paid through the labour officer.
The claimants did not give evidence to establish the basis of the other claims and prayers. The same shall fail.
In conclusion, judgment is entered for the claimants against the respondent for:
The claimants to compute, file and serve by 16. 10. 2015 the money as found due in (a) to (d) in this judgment for recording the same in court on 23. 10. 2015.
The respondent to pay each claimant the money in (1) by 1. 12. 2015 failing interest at court rates to be paid from date of the suit till full payment.
The respondent to pay claimants’ costs of the suit.
Signed, datedanddeliveredin court atNyerithisFriday, 9th October, 2015.
BYRAM ONGAYA
JUDGE