News / Local
Clover Leaf ordered to reinstate 23 fired workers
05 May 2016 at 06:57hrs | Views
Clover Leaf Motors, has been ordered to reinstate or pay damages in lieu of reinstatement to its 23 former employees who were unlawfully dismissed last year following the Supreme Court ruling which allowed employers to fire workers on three months' notice.
The workers were fired in August last year, and in October they approached the Ministry of Labour challenging termination of their employment on three months' notice.
They submitted that the employer committed an unfair labour practice as they should have been retrenched as opposed to getting fired because the company had already decided to reduce its staff citing low business volumes triggered by a poor economic environment.
In his ruling, labour officer Max Sibilika said it was evident that the employer partly denied it had committed an unfair labour practice as alleged and, thus, viewed its conduct as trite at law.
Sibilika said the fired employees also partly viewed the reasons given by their employer as one which required the retrenchment process to be followed in terms of section 12C of the Labour Act.
"After analysis of parties' submissions and in light of the Labour Act, it is clear from section 2, which defines retrenchment inrelation to employees, that it is done in some instances to downsize when there are performance problems," he said.
"In this case, this is the scenario at hand to which respondent (Clover Leaf) wanted to cut on staff and was, therefore, supposed to be guided by the provisions of section 12C…I, therefore, concur with the claimant (workers) that the retrenchment process ought to have been initiated as opposed to termination on notice. The respondent is in breach of not following the retrenchment process."
He ruled: "It is hereby ordered that the complainants, that is, Richard Mwanza and 22 others, be reinstated without loss of salaries and benefits. If reinstatement is no longer tenable, parties may agree on payment of damages in lieu of reinstatement, if no agreement parties may approach the labour officer for quantification of damages."
The workers were fired in August last year, and in October they approached the Ministry of Labour challenging termination of their employment on three months' notice.
They submitted that the employer committed an unfair labour practice as they should have been retrenched as opposed to getting fired because the company had already decided to reduce its staff citing low business volumes triggered by a poor economic environment.
In his ruling, labour officer Max Sibilika said it was evident that the employer partly denied it had committed an unfair labour practice as alleged and, thus, viewed its conduct as trite at law.
"After analysis of parties' submissions and in light of the Labour Act, it is clear from section 2, which defines retrenchment inrelation to employees, that it is done in some instances to downsize when there are performance problems," he said.
"In this case, this is the scenario at hand to which respondent (Clover Leaf) wanted to cut on staff and was, therefore, supposed to be guided by the provisions of section 12C…I, therefore, concur with the claimant (workers) that the retrenchment process ought to have been initiated as opposed to termination on notice. The respondent is in breach of not following the retrenchment process."
He ruled: "It is hereby ordered that the complainants, that is, Richard Mwanza and 22 others, be reinstated without loss of salaries and benefits. If reinstatement is no longer tenable, parties may agree on payment of damages in lieu of reinstatement, if no agreement parties may approach the labour officer for quantification of damages."
Source - The Worker