Court Upholds Ex-Employee’s Rights, Rejects Ciscon Ltd’s Argument Based On Post-Termination Agreement

The Court declared that Mr Bamidele is entitled to the sum of Seven Million, Six Hundred and Six Thousand, Five Hundred and Fifty-One Naira, and Fourteen Kobo) as redundancy entitlement, N. 281, 727.82 (Two Hundred and Eighty-One Thousand, Seven Hundred and Twenty-Seven Naira, Eighty-Two Kobo) in lieu of notice of termination by reason of redundancy, and the sum of N422,591.73 (Four Hundred and Twenty-Two Thousand, Five Hundred and Ninety-One Naira, Seventy-Three Kobo) being Gratia sum.

Justice Hamza also awarded the sum of N2,000,000.00. (Two Million Naira) only as damages against Ciscon Ltd in favour of Mr Bamidele.

From facts, the claimant, Mr. Bamidele, submitted that he was an oilfield worker by profession and a former employee of Ciscon Ltd, where he worked as a Driver between 25/3/1998 and 1/6/2016, prior to his employment termination without notice on the ground of redundancy.

Mr. Bamidele averred that since the termination of his employment, Ciscon Ltd has withheld and continues to withhold his terminal benefits/entitlement without justified reason.

In defence, while acknowledging Mr. Bamidele to be one of its ex-staff of the firm who were members of the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN), the Defendant- Ciscon Ltd averred that following a town hall meeting on an amendment of the company staff manual, the issue of terminal benefit payable to their staff has been settled.

Counsel argued that Exhibit D2 was meant to take care of the issue of payment of terminal benefits arising from the disengagement of staff of the firm, including Mr. Bamidele. Counsel submitted that Mr. Bamidele has failed to establish his entitlement to the relief claimed and urged the Court to dismiss the case in its entirety.

In opposition, Counsel to the claimant submitted that Mr Bamidele was not proven to be a member of PENGASSAN; and that Mr Bamidele was no longer a company employee when the meeting that supposedly birthed the new agreement was held; and urged the Court to grant the reliefs sought in the interest of justice.

In a well-considered judgment, the Presiding Judge, Justice Muhammed Hamza held that Mr. Bamidele is not a member of the Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) during the course of his employment with the Ciscon Ltd based on the absence of any evidence of his payment or deduction of union checkoff dues from his salary.

The Court ruled that the Agreement contained in the Communiqué was meant to take care of the issue of payment of terminal benefit made after the termination of Mr Bamidele’s employment, and the exhibits tendered have not in any way amended the terms and conditions of Bamidele’s employment and the Staff Manual as it relates to payment are also not applicable to the determination of the case.

Justice Hamza faulted the action of Ciscon Ltd for withholding Mr Bamidele’s accrued benefits/entitlements as provided for under Article 13.4 of the employment agreement, and described it as unfair to labour practice.

On Mr Bamidele’s N5m Gratuity benefit claim, the Court held that by virtue of the Staff Manual provisions, the claim for gratuity is for an employee who reached the mandatory retirement age of 60 years, and is not applicable to Mr Bamidele, whose employment was terminated due to redundancy.