[2019] KEELRC 2545 (KLR)
The court found that although the claimants were not dismissed but left employment after declining to sign new long-term contracts, the respondent had engaged in unfair labour practices by keeping the claimants on short-term contracts for periods ranging from 7 to 9 years. The court held that under Article 7 of ILO...
Source-derived case information.
- Citation
- [2019] KEELRC 2545 (KLR)
- Parties
- Applicant: Norbert Marete Nguki; Applicant: Joseph Kithisya Mbithi; Applicant: Nguli Mulatya alias Nicholas Nguli Mulatya; Respondent: Kenya Water Institute
- Court
- Employment and Labour Relations Court
- Court Station
- Employment and Labour Relations Court at Nyeri
- Jurisdiction
- Kenya
- Case Number
- Civil Case 412 of 2017
- Procedural Posture
- Employment Cause / Judgment
- Outcome
- Claim partly allowed; claimants awarded one month notice pay each; no order as to costs.
- Judges
- AN Makau
- Legal Topics
- Unfair Termination, Casual Employment, Notice Periods, Employment Contracts
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
Norbert Marete Nguki
Applicant
Joseph Kithisya Mbithi
Applicant
Nguli Mulatya alias Nicholas Nguli Mulatya
Applicant
Kenya Water Institute
Respondent
Procedural Posture
Employment Cause / Judgment
Legal Issues
- 1 Whether the claimants were unfairly terminated from employment.
- 2 Whether the respondent engaged in unfair labour practices by employing the claimants on consecutive short-term contracts for several years.
- 3 Whether the claimants are entitled to notice pay or any other terminal dues.
Ratio Decidendi
The court found that although the claimants were not dismissed but left employment after declining to sign new long-term contracts, the respondent had engaged in unfair labour practices by keeping the claimants on short-term contracts for periods ranging from 7 to 9 years. The court held that under Article 7 of ILO Convention 158 and Section 35 of the Employment Act, the claimants were entitled to reasonable notice of termination. Since no notice was issued, the claimants were entitled to recover wages in lieu of notice. The court rejected claims for gratuity, as the claimants were not members of a retirement scheme, but noted they could access NSSF dues upon retirement age. The court...
Court Disposition
Claim partly allowed; claimants awarded one month notice pay each; no order as to costs.
Orders
- The respondent shall pay Norbert Marete Nguki Kshs. 12,526 as one month notice pay.
- The respondent shall pay Joseph Kithisya Mbithi Kshs. 25,516 as one month notice pay.
Full Case Text
Judgment text and source record
27 paragraphs
REPUBLIC OF KENYA
IN THE EMPLOYMENT & LABOUR RELATIONS
COURT OF KENYA AT NYERI
CASE NO. 412 OF 2017
CONSOLIDATED WITH CAUSES 410 OF 2017 &411 OF 2017
1. NORBERT MARETE NGUKI
2. JOSEPH KITHISYA MBITHI
3. NGULI MULATYA alias NICHOLAS NGULI MULATYA............CLAIMANTS
VERSUS
KENYA WATER INSTITUTE..............................................................RESPONDENT
JUDGMENT
1. The Claimants sued the Respondent in 3 different suits being Cause No. 412 of 2017, 410 of 2017 and 411 of 2017 which were consolidated prior to hearing. They alleged unfair labour practices and unlawful termination of their contracts of service. The 1st Claimant worked as a cook from 10th May 2010 till 23rd August 2017 whereas the 2nd Claimant was initially engaged as a general labourer from 8th January 2007 and thereafter promoted to store clerk and finally worked as a driver till termination on 14th July 2017. The 3rd Claimant was a general labourer from 3rd September 2008 till 23rd August 2017 while he was serving s a laundry operator. They used to sign employed contracts every two months for the entire duration of their employ. The Respondent in the defences filed asserts that the Claimants were casual workers who were employed for 2 months and there was a renewal subject to application by the Claimants and acceptance by the Respondent. The Respondent denies that it engaged in any unfair labour practices and avers that the Claimants left employment on their own volition and were paid their dues. The Respondent averred that all statutory dues were deducted and remitted as required and urged the court to dismiss the suits with costs.
2. The 1st Claimant testified on behalf of the other 2 Claimants. He reiterated that they were employed on 2 month contracts over their entire duration of service and were dismissed on various dates without any colour of right. At the hearing, of the other 2 Claimants, only the 2nd Claimant was present while the 3rd Claimant was absent. The Respondent called it Acting HR Manager James Karisa Mweni who testified that the Claimants were employed on casual terms for staggered periods on 2 month contracts and that if the Claimants wished they would be re-employed. He stated that the Respondent had intermittent funding and would not have enough money to pay them on long term contracts until 5th May 2017 when funding was availed for their hire. The 3 Claimants declined to sign the new contracts which the other employees signed and the 3 therefore had no contracts and left the Respondent’s employ of their own volition.
3. The parties filed submissions in which the Claimants submitted that the Respondent did not give the Claimants notice of the intended termination as required under Section 35 of the Employment Act. The Claimants alleged that they were dismissed without due regard to the law. The Respondent on its part submits that the Claimants were given one year contracts and they declined to sign the contracts to signify acceptance and were therefore deemed to have rejected the offer of employment. The Respondent submitted that the Claimants contracts did not have a provision for giving of notice as the contracts were for 2 months. The Respondent argued that the Claimants were all paid their dues as they received pay for each day worked.
4. It is clear the Claimants were offered long term contracts which they all declined to sign. As a result they ceased being employees of the Respondent out of their own free will. They were not dismissed and were only asked to return the unsigned letters of offer. Their suits were therefore misplaced in as far as termination of employment goes. However, the Respondent had unfair labour practices in that for periods ranging from 7 to 9 years, the Claimants were on short term contracts. Under Article 7 of the ILO Convention 158, the Claimants were entitled to a reasonable period of notice. In view of the fact that they had been on 2 month contracts, a notice period of 2 weeks would have sufficed. As no notice was issued, the fact of termination was not properly communicated and they are therefore each entitled to recover wages for the notice not issued. They were not members of any retirement scheme and therefore they were not entitled to gratuity but can draw from the NSSF dues upon attainment of the mandatory retirement age as per the National Social Security Fund Act. In the final analysis, the Claimants are only successful to the following extent:-
a. One month notice pay as follows: -
i. Cause 412 of 2017 - Norbert Marete Nguku Kshs. 12,526/-
ii. Cause 410 of 2017 – Joseph Kithisya Mbithi Kshs. 25,516/-
iii. Cause 411 of 2017 – Nguli Mulatya Kshs. 15,678/-
b. Each party to bear their own costs.
It is so ordered.
Dated and delivered at Nyeri this 21st day of January 2019
Nzioki wa Makau
JUDGE
I certify that this is a true
copy of the original
DEPUTY REGISTRAR