Business
Court slams N20.2m fine on FirstBank for unlawful dismissal of employee
The National Industrial Court of Nigeria (NICN) sitting in Port Harcourt has slammed a N20 million fine on First Bank of Nigeria as general damages for wrongful dismissal and acts of unfair labor practice against its former employee, Lovell Osahon Ehigie.
The court presided over Justice Nelson Ogbuanya also awarded a cost of N200, 000 against the bank in favor of the claimant and ordered the defendant to compute and pay to the claimant his withheld terminal benefits and one-month ‘salary in lieu of notice’, in line with the terms of the employment contract.
Justice Nelson Ogbuanya further directed that the sum of money awarded should be payable to the claimant within two months of the judgment, failing which it attracts a 10 per cent interest rate yearly until fully liquidated in a September 30, 2021, judgment, which the Certified True Copy was obtained by The Guardian last week.
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It would be recalled that the claimant had prayed the judge to declare that the termination and dismissal of his appointment were unlawful and illegal.
Osahon Ehigie had equally urged the court to hold that he suffered damages as a result of the acts of the defendant.
The claimant explained that he was employed by the defendant via a letter of employment dated June 16, 1998, and served for about 19 years as of July 2017, after rising through the ranks to the position of Assistant Manager, and had been deployed at various branches of the defendant bank, where he served creditably without blemish.
Osahon Ehigie stated that he was queried for issuing dud cheque, and he responded to explain that he didn’t do so, consequent upon which the defendant suspended him pending the investigation of the said allegation.
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Osahon Ehigie argued that without being invited to any disciplinary proceedings and without compliance with the provisions of Article 11(c) the Employee Handbook, he received another letter of Termination of Appointment dated September 15, 2017, terminating his employment on the purported ground that his services were no longer required.
However, in its opposition, First Bank Plc argued that the claimant’s employment was terminated because his services were no longer required and not as a result of the issuance of dud cheque of which the defendant had drawn the claimant’s attention through the query and which he responded to, and that ended the issue.
The financial institution equally mentioned that no such issue was raised in the termination letter, which was served on the claimant, adding that the claimant was paid one month in lieu of salary, and that it did not set up disciplinary procedure against him as the reason for his termination was that his services were no longer required, and that such reason for termination does not warrant setting up of disciplinary committee to try the employee.
In dishing out his judgment, Justice Ogbuanaya held that the legal status of the claimant’s exit from the employment was that of dismissal and not termination.