[2024] KEELRC 2765 (KLR)

[2024] KEELRC 2765 (KLR)

The court found that the claimants were employees of the 1st respondent, not the 2nd respondent, based on the contracts, NSSF records, and the nature of the outsourcing arrangement. The claimants were not piece rate workers but were paid for days worked, and their employment was contractual. The termination was held...

Source-derived case information.

Citation
[2024] KEELRC 2765 (KLR)
Parties
Applicant: Mulambula Imbogo Mikis & 55 others; Respondent: Frodak Services (Frodak Kenya Limited); Respondent: Butali Sugar Mills Limited
Court
Employment and Labour Relations Court
Court Station
Employment and Labour Relations Court at Kakamega
Jurisdiction
Kenya
Case Number
Employment and Labour Relations Cause 10 of 2023
Procedural Posture
Employment and Labour Cause / Judgment
Outcome
Claim partly allowed against 1st respondent; dismissed against 2nd respondent; some claims abated.
Judges
JW Keli
Legal Topics
Unfair Termination, Outsourced Labour, Statutory Minimum Wage, Service Pay, Leave Entitlement, Underpayment
Source Language
en
Employment and Labour Unfair Termination Outsourced Labour Statutory Minimum Wage Service Pay Leave Entitlement Underpayment

Source-derived case record

Summary, issues, holding and outcome

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Parties

Mulambula Imbogo Mikis & 55 others

Applicant

Frodak Services (Frodak Kenya Limited)

Respondent

Butali Sugar Mills Limited

Respondent

Procedural Posture

Employment and Labour Cause / Judgment

  1. 1 Whether the claimants were employees of the 1st or 2nd respondent.
  2. 2 Whether the claimants were piece rate or contractual employees.
  3. 3 Whether the termination of the claimants' employment was unfair and unlawful.

Ratio Decidendi

The court found that the claimants were employees of the 1st respondent, not the 2nd respondent, based on the contracts, NSSF records, and the nature of the outsourcing arrangement. The claimants were not piece rate workers but were paid for days worked, and their employment was contractual. The termination was held to be lawful and fair, as the claimants participated in an unprotected strike, which is a valid reason for dismissal under the Labour Relations Act. Procedural fairness was satisfied as the contracts ended by effluxion of time, and the court relied on a previous appellate decision involving similar facts. The claimants were not entitled to compensation for unfair termination...

Court Disposition

Claim partly allowed against 1st respondent; dismissed against 2nd respondent; some claims abated.

Orders

  • 1st respondent to pay each claimant KES 56,976 in lieu of leave.
  • 1st respondent to pay each claimant KES 18,579 as service pay.