Hon. Justice Zaynab Bashir of the National Industrial Court, Port Harcourt Judicial Division has ordered Ohenmerge Company to pay its former employee, Obioha, the sum of N2m as general damages for breach of employment contract and to pay Obioha her full salaries for March and April 2022.
Justice Bashir held that Ohenmerge Company produced documentary evidence establishing remittance of pension contributions, PAYE tax deductions, and enrollment of Obioha in a group life insurance policy.
From the facts, the claimant, Obioha, had submitted that her employment with Ohenmerge Company was terminated without notice, that she was denied annual leave for four years, and that the company failed to provide proof of pension remittances, tax deductions, and life insurance coverage as stipulated in her letter of employment.
Obioha sought N50m as damages for breach of contract, N30m as severance benefit, N20m as damages for emotional and psychological trauma, N20m as exemplary damages, and payment of salaries from March 2022 until the determination of the suit.
Obioha maintained that although she diligently discharged her duties, the Company withheld her salary and unlawfully dismissed her following exchanges regarding a proposed review of her contract conditions.
In defence, Ohenmerge Company stated that Obioha was dismissed for alleged incompetence, habitual lateness, absenteeism, and negligence. The company asserted that Obioha was issued a 60-day notice of dismissal, that Obioha was informed of the reasons for her dismissal, and that she was not entitled to leave benefits because her employment was never confirmed.
Ohenmerge Company further tendered documents showing pension remittance schedules, PAYE tax remittances, and a group life insurance policy, insisting that it complied with its statutory and contractual obligations toward Obioha.
Delivering judgment after a careful evaluation of the pleadings, evidence, and submissions of counsel, Justice Zaynab Bashir held that the sole issue for determination was whether Obioha established entitlement to the reliefs sought.
The Court held that the evidence before it established that Obioha was issued a 60-day notice of dismissal in February 2022 and that the notice clearly stated the reasons for her dismissal.
Justice Bashir held that Ohenmerge Company produced documentary evidence establishing remittance of pension contributions, PAYE tax deductions, and enrollment of Obioha in a group life insurance policy. The Court found that Obioha did not prove any refusal to provide proof of remittance nor any non-compliance with statutory obligations.
The Court, however, found that Ohenmerge Company breached the employment contract in failing to pay the accrued salaries of Obioha for March and April 2022. The Court held that salary is consideration for work done and, once earned, cannot be withheld as punishment or leverage.
Justice Z. M. Bashir therefore awarded the sum of N2m as general damages pursuant to Section 19(d) of the National Industrial Court Act 2006 for breach of contract and ordered Ohenmerge Company to pay Obioha her full salaries for the months of March and April 2022.
