[2018] KEELRC 2528 (KLR)

[2018] KEELRC 2528 (KLR)

The court found that the claimants, having worked for the respondent for extended periods as casuals, were deemed permanent employees by operation of law under section 37(1) and (3) of the Employment Act. The respondent's policy to end casual employment and require new contracts was in line with statutory...

Source-derived case information.

Citation
[2018] KEELRC 2528 (KLR)
Parties
Applicant: Martin Wamae Wangu and 243 others; Respondent: Bidco Africa Ltd
Court
Employment and Labour Relations Court
Court Station
Employment and Labour Relations Court at Nairobi
Jurisdiction
Kenya
Case Number
Cause 1936 of 2015
Procedural Posture
Employment Cause / Judgment
Outcome
Partially allowed; claimants declared employees under section 37, monetary compensation ordered, service pay claim dismissed.
Judges
NJ Abuodha
Legal Topics
Casual Employment Conversion, Termination of Employment, Entitlement to Notice, Leave Entitlements, Service Pay, Employment Contracts
Source Language
en
Employment and Labour Casual Employment Conversion Termination of Employment Entitlement to Notice Leave Entitlements Service Pay Employment Contracts

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Summary, issues, holding and outcome

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Parties

Martin Wamae Wangu and 243 others

Applicant

Bidco Africa Ltd

Respondent

Procedural Posture

Employment Cause / Judgment

  1. 1 Whether the claimants were entitled to be recognized as permanent employees under section 37 of the Employment Act.
  2. 2 Whether the respondent unfairly terminated the claimants' employment by locking them out for refusing to sign new contracts.
  3. 3 Whether the claimants are entitled to service pay, notice pay, and leave pay under the Employment Act.

Ratio Decidendi

The court found that the claimants, having worked for the respondent for extended periods as casuals, were deemed permanent employees by operation of law under section 37(1) and (3) of the Employment Act. The respondent's policy to end casual employment and require new contracts was in line with statutory requirements, but the claimants' refusal to sign without clarification of their previous service was reasonable. The court declined to make a finding on unfair termination but held that the claimants were entitled to one month's salary in lieu of notice and one month's salary in lieu of leave for each complete year of service from 2009 to 2013 for those in service during that period. The...

Court Disposition

Partially allowed; claimants declared employees under section 37, monetary compensation ordered, service pay claim dismissed.

Orders

  • Each claimant to be paid one month's salary in lieu of notice.
  • Each claimant to be paid one month's salary in lieu of leave for each complete year of service from 2009 to 2013, if applicable.