Court orders Airline Operator to pay Falana $17,000 within 30 days

Hon. Justice (Prof.) Elizabeth Oji of the Lagos Judicial Division of the National Industrial Court has ordered Med-View Airline to pay its former staff Mr Falana $17,000.00 outstanding duty tour allowance; N2,364,962.60 (Two million, Three Hundred Sixty-Four Thousand, Nine Hundred and Sixty-Two Naira, sixty kobo) unremitted pension contributions; 1,399, 853.80 (One Million, three hundred and ninety-nine thousand eight hundred and fifty-three naira eighty kobo) outstanding and unpaid leave allowance; and N2, 909 558.52 (Two Million Nine hundred and nine Thousand, Five Hundred and fifty-eight Naira, Thirty-Eight Kobo) salary arrears within 30 days. From facts, the Claimant- Mr Falana had submitted that he was employed as an Aircraft Engineer on 15th January 2014, where he worked till his service was no longer required by Med-View Airline on 14th May 2018. Mr Falana argued that by virtue of the Internal Memo dated 19th April 2017, the total sum of allowances due to him for the inspection and engineering duty in Ethiopia is the sum of $17,000:00 (Seventeen Thousand Dollars). Mr Falana further averred that against the provisions of the company’s handbook, the Airline refused to pay him annual leave allowances for year 2016, year 2017 and year 2018, and unpaid salaries for February 2018 to May 2018, and leave allowances for the years 2016, 2017 and 2018 amongst others. However, despite service of processes on the Med-View Airline, the Med-View Airline refused to file any defence in the matter. In its final submission, Mr Falana’s counsel, further argues that parties in the above relationship are bound by the terms of contract of employment without any further extrinsic matters outside the contract of employment. Mr. Falana submits that in proof of his claims for unpaid salaries, allowances and bonuses, he has tendered exhibits and urged the Court to grant the reliefs sought. In a well-considered judgment after careful evaluation of the submission of both parties, the Presiding Judge, Justice Elizabeth Oji reiterated that judgment would only be given to Mr Falana on the strength of his case, not on the absence or weakness of the Defence. The Court resolved that Mr Falana’s statement of account shows lack of consistency in the payment of his salary, by the Airline Operator, and the Med-View Airline’s decision not to challenge or contradict this evidence is hereby taken as admission of the facts especially in view of exhibit tendered. Justice Oji ruled that Mr Falana has proved the reliefs sought based on the evidence before the Court. The Court ordered Med-View Airline to pay Mr Falana the sum of N2, 909 558.52 (Two Million Nine hundred and nine Thousand, Five Hundred and fifty-eight Naira, Thirty-Eight Kobo) being his salary arrears from February 2018 to 14th May 2018; and the sum of 1,399, 853.80 (One Million, three hundred and ninety-nine thousand eight hundred and fifty-three naira eighty kobo being outstanding and unpaid leave allowance for years 2016, 2017 and 2018. In addition, Justice Oji ordered the Med-View Airline to pay Mr Falana, the sum of N2,364,962.60 (Two million, Three Hundred Sixty-Four Thousand, Nine Hundred and Sixty-Two Naira, sixty kobo) being the unremitted pension contributions to Mr Falana pension account for the period commencing from February 2015 to 14th May 2018 and the sum of $17,000.00 (Seventeen Thousand Dollars) being outstanding duty tour allowance from 11th March 2017 to 27th March 2017. “Cost of this action is set at N1,000,000.00 (One Million Naira) only. The terms of this judgment are to be complied with, not later than 30 days from today; failure at which interest will accrue at the rate of 20% per annum,” the Court ruled.

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Court faults firm on suspension, orders salaries payment within 30 days

The Presiding Judge, Ibadan Judicial Division of the National Industrial Court, Hon. Justice Dele Peters has declared the purported indefinite suspension of Mr. Dada from the service of Dee-Pee Global Packaging which has lasted over one year and eight months and continuing, without payment of salary as unfair labour practice, and wrongful determination of appointment. The Court stated that it is an unfair labour practice for an employer to deny an employee his salary and allowances under the guise of exercising some form of disciplinary control through indefinite suspension. Justice Dele Peters ordered Dee-Pee Global Packaging to pay Mr Dada the sum of Five Hundred and Four Thousand Naira (=N= 1,260,000) only being the arrears of salaries and allowances before and during the period of the illegal and wrongful suspension, 1st October 2020 till the date of this judgment January 2025, and the sum of N200k cost of action within 30 days. From facts, the claimant, Mr Dada, submitted that he was placed on an indefinite suspension on 3 October 2020, that he has not been recalled since then, that he was not paid any salary, and that his employment has not been terminated. Under cross-examination, Mr. Dada stated that he was not aware that the Company he worked for had shut down its operations; he did not visit Dee-Pee Global Packaging’s premises, and he had not had another job since he was suspended. In defence, the Defendant, Dee-Pee Global Packaging, averred that Mr Dada was indefinitely suspended for misconduct, which caused the defendant economic loss and consequently led to the company shutdown. Learned Counsel submitted that one of the ways of determination of contract of personal service or employment is by the death of either party and that the shutdown of the firm without resuscitation took her to the brink of winding up to date; that Mr Dada did not prove how he arrived at the calculation of his salaries and allowances, and urged the Court to dismiss the case in its entirety. In opposition, Mr. Dada’s learned counsel, Omoniyi Odeyemi with M.O. Ibrahim & T.M. Odeyemi argued that since indefinite suspension does not amount to termination of employment, the implication is that their client remains in continuous employment with Dee-Pee Global Packaging until he is recall or his employment is formally terminated or dismissed, and urged the Court to grant the reliefs sought. In reply, learned Counsel to the firm submitted that indefinite suspension without pay can amount to constructive dismissal and urged the Court to dismiss Mr Dada’s case in its entirety. Delivering judgment after careful evaluation of the submissions of both parties, the Presiding Judge, Justice Dele Peters stated that suspension even where it is stated to be indefinite is neither demotion from rank nor termination of contract of employment. The Court reasoned that an employer suspending his employee may impose terms of the suspension but in a general sense suspension of an employee from work only means the suspension of the employee from performance of the ordinary duties assigned to him by virtue of his office. Justice Peters maintained that nothing in the contract between the parties confers the firm with the power to suspend or to suspend indefinitely without pay as the Company has done, and stated that the conduct of Dee-Pee Global is nothing short of denying Mr. Dada completely of his means of livelihood.

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