Automated Summary
Key Facts
The Claimant, Constance Mwongeli Nzioki, was terminated by Lazizi Premiere Ltd on 30 August 2021 for misuse of a company vehicle for personal errands, submission of false Daily Sales Reports, and breach of confidentiality by sharing guest information with an unauthorized third party. The Respondent conducted disciplinary hearings on 12 and 23 August 2021, during which the Claimant admitted to using the vehicle for personal purposes and sharing confidential information. The court found the termination substantively justifiable and procedurally fair, noting the Claimant was given opportunities to respond to allegations, attended hearings with a representative, and received requested documents. The Claimant signed a Final Dues Payment and Certificate of Service on 21 September 2021, acknowledging no further claims against the employer.
Issues
- Whether the Claimant waived her rights to pursue further claims against the Respondent by signing the Final Dues Payment and Certificate of Service.
- Whether the Claimant is entitled to the reliefs sought, including declarations of violation of constitutional rights, wrongful termination, and payment of dues, as well as general damages and costs.
- Whether the termination of the Claimant's employment was substantively justifiable and procedurally fair under the Employment Act, 2007 and constitutional provisions.
Holdings
- All requested reliefs (declarations of unfair termination, general damages, 12 months' salary, unpaid commission, and termination notice pay) were denied as the claimant's case was found unsustainable. The court emphasized no general damages are awardable in employment contracts under Kenyan law.
- The court ruled that the claimant waived her rights to pursue further claims by signing the Final Dues Payment and Certificate of Service, discharging the respondent from all employment-related obligations despite her testimony about signing under familial pressure.
- The court found that the respondent had valid and fair reasons for terminating the claimant's employment, including misuse of company vehicle for personal errands, submission of false Daily Sales Reports (DSR), and breach of confidentiality. The termination was determined to be substantively justifiable and procedurally fair under Section 41 of the Employment Act, 2007.
- The court confirmed the disciplinary process adhered to procedural fairness requirements, including providing the claimant with notice, an opportunity to respond, and representation. The claimant's allegations of bias and procedural flaws were dismissed due to lack of evidence.
Legal Principles
- The court applied the standard of proof on a balance of probabilities for employment termination cases, as opposed to proof beyond a reasonable doubt. This approach aligns with judicial precedents like Kenya Revenue Authority V Reuwel Waithaka Gitahi (2019) eKLR, where the employer's reasonable belief in misconduct sufficed to justify termination.
- The court applied the principle of natural justice to determine whether the Respondent's termination of the Claimant's employment was procedurally fair. It emphasized that the employer must comply with Section 41 of the Employment Act, 2007, including providing notice, explaining reasons in an understandable language, allowing representation, and hearing the employee's defense. The court found that the disciplinary process was fair, with the Claimant given opportunities to respond to allegations and appeal.
- The court held that the employer's burden under Section 43(2) of the Employment Act is to demonstrate that it genuinely believed the reasons for termination existed at the time of dismissal. This subjective test does not require the employer to prove the reasons were objectively true, only that their belief was reasonable. The Respondent satisfied this burden by showing the Claimant admitted to misconduct.
Precedent Name
- Trinity Prime Investment Ltd V Lion of Kenya Insurance Co. Ltd
- Coastal Bottlers Co. Ltd V Kimathi Mithika
- Kenya Electrical Traders & Allied Workers Union V Kenya Power & Lighting Co. Ltd and CFC Stanbic Bank Ltd V Danson Mwashako Mwakuwona
- Joseph Mwaniki Nganga V United Millers Ltd
- Naima Khamis V Oxford University Press EA Ltd
- Judicial Service Commission V Gladys Boss Shollei
- Postal Corporation of Kenya V Andrew K. Tanui
- Kenya Power & Lighting Co. Ltd V Aggrey Lukorito Wasike
Cited Statute
- Employment Act, 2007
- Constitution of Kenya, 2010
Judge Name
Dr. Jacob Gakeri
Passage Text
- The disciplinary process was deemed procedurally fair as the Claimant was given opportunities to respond, attended hearings with a representative, and received requested documents.
- The court dismissed the Claimant's allegations of bias and vendetta, citing lack of evidence and noting the General Manager did not chair the disciplinary hearing.
- The court found that the Claimant admitted to using the Respondent's vehicle for personal errands and sharing confidential information, which constituted gross misconduct.