REMEDIES (wrongful dismissal or legal termination)

The Court’s response to a wrongful termination of an employment contract which give rise to remedies is seen in Lord Cain’s Decision in Doherty v Alman, here the dominant consideration is “whether the remedy can sufficiently recompense the injury of termination”.

  • Under common law = Reinstatement or Damages
  • Under the Labour code = Damages, while Reinstatement Under the Labour code, is applicable only to Staff Representatives S 130(3 and 4) LC.
  • Note that all labour claims are barred after 03 years= S 74(1). LC

DAMAGES: Two types exist i.e General and special damages. According to S 39(4) LC= Pecuniary (financial, monetary or economic) satisfaction awarded to a plaintiff (employer or worker) for a wrong suffered during an employment contract in labour law.

General Damages according to the last sentences of S 39(4) LC, limits the amount to= Not less than 3 Months salary of the worker or not more than 01 month salary per year of service of the worker.

–        In case where a plaintiff suffers body injuries especially loss of body parts, these injuries are used as a yard stick for determining general damages,hence S 39(4) is ignored.

–        More so, according to Lord Bawak JCA, failure to pay gratuity benefits rightly due to the plaintiff and taking into consideration the salary for the period he would have continued to work had he not been terminated are also used as yard stick for determining general damages, hence awarding higher amount as general damages and once again ignoring S 39(4).

Special Damages: This includes any accrued due that originates from the employment. Its actual loss suffered not future losses. They are as follows;

  • Severance pay. S 37(1). Only for k of unspecified duration.
  • Pay in lieu of Notice.
  • Transport for Repatriating a worker back home 94(4) LC, usually 01 month salary.
  • Housing Allowances. S 66 LC.
  • Leave claims. S 93 LC
  • Salary arrears if any.
  • Extra time if any.
  • Irregular Deductions from workers pay of all types if any..
  • Duty post allowances if any.
  • Reclassification payments.(seniority bonus,)
  • Payments for period illegally suspended if any.
  • Non issuance of certificate of service. 167 of Lc, fine 100000-1m
  • Good will separation allowance.
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