Automated Summary
Key Facts
The claimant, Wilberforce George Achoka, was employed by Kalu Works Limited as a setter/packer initially and later as a Machine Operator earning Kshs 32,495/month. His employment was terminated for non-productivity, poor teamwork, and conduct. The respondent claimed the termination was justified and followed procedures by informing the claimant and his union, while the claimant disputed the fairness and process, asserting no disciplinary hearing occurred. The court found the termination valid but ordered an additional payment of Kshs 136,225 (five months' salary) due to lack of a disciplinary hearing prior to dismissal.
Issues
- The claimant disputed the amount of his terminal dues, arguing the calculation was incorrect. The court found that the joint calculation with the union was in line with the law and the Collective Bargaining Agreement. However, an additional five months' salary was ordered as compensation for the lack of a disciplinary hearing prior to termination.
- The court examined if the respondent followed the correct procedure under Section 41(1) of the Employment Act, which mandates that employers explain termination reasons and allow the employee to defend themselves. The claimant stated no such hearing occurred, while the employer mentioned a meeting with the union after termination. The court ruled that the meeting post-termination was insufficient, leading to an additional payment for the lack of a pre-termination hearing.
- The court determined whether the employer's termination of the claimant's services was fair, considering the reasons provided (non-productivity, poor teamwork, and behavior) and the absence of a prior disciplinary hearing as required by Section 41(1) of the Employment Act. The claimant argued the termination was unfair and that he was not given an opportunity to defend himself, while the employer maintained that the termination was justified and that a meeting with the union was held post-termination. The court found the termination was valid but ordered compensation for the lack of a disciplinary hearing.
Holdings
- The court determined that the termination of the claimant's employment was valid and justifiable, and that the calculation of terminal dues was in accordance with the law and the claimant's contract. However, the court ordered the respondent to pay an additional sum of Kshs 136,225/= (equivalent to five months' salary) due to the termination occurring prior to a disciplinary hearing, as required by Section 41(1) of the Employment Act.
- The court further ruled that the claimant shall be awarded the costs of the suit, indicating the respondent's liability for legal expenses incurred by the claimant during the proceedings.
Remedies
- The court awarded the claimant the costs of the suit.
- The court ordered the respondent to pay the claimant an additional Kshs 136,225, equivalent to five months' salary, due to termination occurring prior to a disciplinary hearing.
Monetary Damages
136225.00
Legal Principles
The court applied principles of Natural Justice, emphasizing that an employee must be given an opportunity to defend themselves against accusations of misconduct or poor performance before termination. It ruled that the employer failed to conduct a disciplinary hearing prior to dismissal, necessitating compensation for this procedural breach.
Cited Statute
Employment Act, Kenya
Judge Name
Abuodha Jorum Nelson
Passage Text
- 11. The court will however order the respondent to pay the claimant a further sum of Kshs 136,225/= being five months salary on account of termination prior to taking the claimant through a disciplinary hearing.
- 8. The claimant stated that he only disputed the manner of termination of his services and the amount paid to him upon termination. Section 41(1) of the Employment Act requires that prior to the termination of employment on grounds of misconduct, poor performance or physical incapacity, an employer must explain to the employee in a language such employee understands, the reason for which dismissal or termination is being considered.
- 10. The court has reviewed the evidence and documents filed in support of either parties' respective positions and is of the view that there existed valid and justifiable reason for terminating the claimant's services. The court is further persuaded that the joint calculation of the claimant's terminal dues was in accordance with the law and his contract service.