The National Industrial Court of Nigeria (NIC) has awarded N76.6million to a banker, Mr Patrick Obiora Modilim, for wrong termination of his employment.
Justice Benedict Kanyip held that the defendant “constructively and wrongly” terminated the claimant’s employment.
“It is hereby ordered that the defendant shall pay to the claimant the sum of N75,535,128 only being the total sum the claimant ought to have been paid as his emolument for 20 months had the defendant reviewed his level to General Manager on confirmation.
“It is hereby ordered that the defendant shall pay to the claimant the sum of N1,120,221.60 only as damages for the wrongful termination of the claimant’s contract of employment in terms of his constructive dismissal by the defendant,” Justice Kanyip held.
He added the money must be paid within 30 days of the judgment, otherwise it would attract interest at the rate of 10 per cent per annum until liquidated.
Modilim told the court that he was a Deputy General Manager at Zenith Bank when United Bank for Africa (UBA) offered him employment on December 3, 2007.
It was agreed he would be made a General Manager after six months, subject to his meeting set targets. He said he met the preconditions, following which his employment was confirmed on August 5, 2008.
However, the bank, he said, continued to pay him the salary of a Deputy General Manager for the 20 months he worked for them, and did not provide him with two official cars which he was entitled to as General Manager.
According to him, he was allegedly forced to resign on March 31, 2010, while UBA accepted his resignation via a letter dated March 30, 2010, a day before he resigned.
The plaintiff said the defendant’s acceptance letter shows that his employment was constructively terminated wrongfully.
But the bank, in its defence, said it never promised to confirm the claimant’s employment as a General Manager.
It said it confirmed Modilim’s appointment as Deputy General Manager after the probationary period in line with his terms of employment.
The defendant said the claimant resigned his appointment, never worked as a General Manager, and therefore, cannot be paid the salary of a General Manager.
The bank also denied that Modilim was entitled to two vehicles with cash value of N16.4million as he was never a General Manager.
But Justice Kanyip declared that the defendant’s failure to review the claimant’s level to General Manager on confirmation was a breach of his contract of employment contained in the officer letter and letter of commitment, both dated November 23, 2007.
In one of the letters, the bank stated: “Subject to achieving your set targets, the bank is willing to review your level to General Manager on confirmation.”
The bank had argued that the claimant did not prove that he met the targets, and that its expression of its willingness to review his level was futuristic and “does not constitute a contract of employment.”
Justice Kanyip disagreed, saying: “This commitment remains a binding terms of the contract of employment between the claimant and the defendant.
“The defendant is in breach of the contract of employment between it and the claimant. The claimant is accordingly entitled to relief but only in terms of the failure of the defendant to indicate the willingness to review the claimant’s position to the lever of General Manager.”
