KENYA BUILDING, CONSTRUCTION, TIMBER, FURNITURE & ALLIED INDUSTRIES EMPLOYEES’ UNION v MAREBA ELDORET LTD [2004] KEELRC 10 (KLR) | Redundancy Benefits | Esheria

KENYA BUILDING, CONSTRUCTION, TIMBER, FURNITURE & ALLIED INDUSTRIES EMPLOYEES’ UNION v MAREBA ELDORET LTD [2004] KEELRC 10 (KLR)

Full Case Text

IN THE INDUSTRIAL COURT OF KENYA

AT NAIROBI.

(Present: Charles P. Chemmuttut, J.)

CAUSE NO.20 OF 2003.

KENYA BUILDING, CONSTRUCTION, TIMBER,FURNITURE &

ALLIED INDUSTRIES EMPLOYEES’UNION.....................................................Claimants.

v.

MAREBA ELDORET LTD.............................................................................Respondents.

Issue in Dispute:

“Refusal to pay redundancy benefits to 45 employees” (hereinafter called the grievants), namely:-

1. Charles Ochango         2.     Richard O. Mulakha

3. Edward M. Kimuhu       4.     Bernard G. Kariuki

5. Martin S. Zakayo           6.     Joshua A. Agoya

7. John Kamindi                 8.     Justus A. Otunga

9. Hudson A. Savala        10.   Jackson Wambugu

11. Bernard Ongessa         12.   Morton Okida

13. Michael A. Mabinda     14.   Julius Mukaka

15. Ainea M. Mbecha         16.   Mathew Onyango

17. Joseph Wawire            18.   Fred Murunga

19. Ephraim Alugaya         20.   Gerald Akonya

21. Wellington Odera        22.   Samwel Mulera

23. Ronald Wanjala           24.   Michael Likwilu

25. Boniface Muhati          26.   Ben V. Ochieng

27. Fred Musamali            28.   Peter Asibiko

29. Simon Mulinge            30.   Sammy Mwangi

31. Mary Nthiga                 32.   Frank Oduba

33. Patrick Oduory             34.   Samson Nandi

35. Joshua Yimbebi           36.   Anne Marabu

37. Mary Kinuthia              38.   Bernard Sidori

39. Enos Mwangale           40.   Issack Mwaura

41. Kennedy Manda          42.   Alfred Lubanga

43. Peter Kibira                 44.   Joseph Lubanga

45. David Ochieng

E.M. Gikunju, Industrial Relations Officer, for the Claimants (hereinafter called the Union).

J.A. Wananda, Advocate, of Shapley Barret & Co., Advocates, for the Respondents (hereinafter called the Company).

A W A R DB Y   C O N S E N T.

On 7th April, 2003, the Minister for Labour referred this dispute to the Court for consideration and determination in accordance with the powers vested in him by Section 8 of the Trade Disputes Act, Cap.234, Laws of Kenya, (which is hereinafter referred to as the Act); and his reference, together with the statutory certificates from the Labour Commissioner and the Minister himself under Section 14(9)(e) and (f) of the Act, were received by the Court on 8th April, 2003. The dispute was then listed for mention on 24th April, 2003, and the parties were notified to attend. Mr. Gikunju for the Union attended but there was no appearance for the Company. In spite of the latter’s absence, however, the parties were directed to submit or file their respective written memoranda or statements by 26th May and 26th June, 2003, respectively, and the dispute was fixed for hearing on 15th July, 2003. The parties were again notified to comply and attend. Mr. Gikunju submitted his memorandum on 29th May, 2003, but the Company neither filed its reply statement as directed nor attended. On 15th July, 2003, only Mr. Gikunju attended; and under the circumstances, the dispute was rescheduled for hearing on 29th October, 2003, and the Company was granted another opportunity to file its reply statement by 15th August, 2003. But it did not do so. On 29th October, 2003, Mr. J.A. Wananda, who appeared for the Company, applied for adjournment of the matter to enable the parties explore the possibility of an amicable settlement out of Court. Mr. Gikunju for the Union did not object to the application for adjournment, and the case was stood over generally.

Consequently, the parties presented or filed the following memorandum of settlement, dated 19th December, 2003, duly signed by Messrs. Wananda and Gikunju for the parties:-

“By consent,

(a)The amount now due has been agreed at Kshs.4,455,251. 40.

(b)The said amount be settled in twenty-nine (29) instalments ofKshs.150,000/= each and one of Kshs.105,251. 40, commencing the first day of December 2003 and thereafter on the first day of each succeeding month until payment in full.”

In my humble consideration, the terms of the amicable settlement are fair and reasonable, and I enter an award by consent as above.

DATED and given in Nairobi this 19th day of February, 2004.

Charles P. Chemmuttut,

JUDGE.