Michael Karanja Wanguru v Safaricom Kenya Limited [2022] eKLR

Key Facts

Issues

• Whether the Claimant had proved his case on a balance of probabilities.
• Whether the Claimant was unfairly and illegally terminated.
• Whether the Claimant is entitled to terminal dues.

Holdings

• The court found that the Claimant's termination was unfair and unlawful due to lack of procedural fairness and substantive justification, as the Respondent failed to afford the Claimant a disciplinary hearing and did not provide a specific narrative of the allegations.
• The Claimant was awarded salary for 27 days worked in June 2017 (Kshs.347,000/-) and one month's salary in lieu of notice (Kshs.347,000/-), as the dismissal was deemed to have taken immediate effect on 27th June 2017.
• The court declined prayers for leave not taken (Kshs.694,000), car allowance (Kshs.100,000), vehicle searches (Kshs.4,000), and benefits accrued during suspension (Kshs.53,000) due to insufficient evidence or lack of contractual provisions.
• The Respondent was ordered to issue a certificate of service to the Claimant under Section 51 of the Employment Act, alongside costs of the suit and interest at court rates.
• The court awarded compensation equivalent to five months' gross salary (Kshs.1,735,000/-) for unfair termination, considering the Claimant's three-year service and lack of appeal.
• The Claimant is entitled to a declaration that his dismissal was unlawful under the Employment Act, as the Respondent did not comply with Section 41(1) procedural safeguards.

Remedies

• The Claimant received payment for 27 days of work in June 2017 (Kshs.347,000) as part of the awarded remedies.
• The Respondent was ordered to cover the costs associated with the legal proceedings.
• The Respondent was ordered to issue a certificate of service to the Claimant in accordance with Section 51 of the Employment Act.
• Interest at court rates was awarded from the judgment date (21 April 2022) until the full payment of all amounts.
• The Claimant was awarded compensation equivalent to five months' gross salary (Kshs.1,735,000) for the unfair termination of employment.
• The Claimant was awarded one month's salary in lieu of notice (Kshs.347,000) as part of the remedies for unfair termination.

Monetary Damages

Legal Principles

• The court applied the principles of substantive justification and procedural fairness under the Employment Act, emphasizing that termination must be based on valid reasons and follow fair procedures. This includes the requirement for employers to provide clear grounds for termination, allow employees to respond, and ensure a fair disciplinary process.
• The court applied the standard of proof under Section 107(1) of the Evidence Act, requiring the claimant to establish his allegations on a balance of probabilities. This standard was central to determining whether the termination was lawful.
• The claimant was required to prove his case on a balance of probabilities, as the respondent did not contest the allegations. The court highlighted that even in undefended claims, the claimant must discharge the burden of proof, referencing cases like Karuru Munyororo v Joseph Ndumia Murage.

Precedent Name

• Mary Chemweno Kiptoi v Kenya Pipeline Co. Ltd
• Naima Khamis v Oxford University Press [EA] Ltd
• Gilbert Mariera Makori v Equity Bank Limited
• Janet Nyandiko v Kenya Commercial Bank Limited
• Karuru Munyororo v Joseph Ndumia Murage
• Pius Machafu Isindu v Lavington Security Guards Limited
• Kenya Akiba Micro Financing Limited v Ezekiel Chebii & 14 Others

Cited Statute

• Employment Act, 2007
• Civil Procedure Act
• Constitution of Kenya
• Evidence Act

Judge Name

Passage Text

• Evidently, the Respondent may have had good reason to terminate or dismiss the Claimant but did not pursue the process to its logical conclusion.
• It is the finding of the Court that the Claimant was not afforded the procedural safeguards provided by Section 41(1) of the Employment Act hereby denying the dismissal process the requisite procedural fairness within the context of Sections 45 of the Employment Act.
• In the circumstances the equivalent of five months' gross salary is fair, Kshs.1,735,000/=-.