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Akure –His Lordship, Hon. Justice A. A. Adewemimo of the National Industrial Court of Nigeria, Akure Judicial division on Monday 11th February 2019 in a judgment declared the rejection of resignation and belated dismissal of MR. FREDERICK OBEAHON OGBEIFUN (Claimant) by the Defendant is not only contrary to the terms and conditions of the employment but also constitutes a breach of the claimant’s fundamental right as guaranteed under the CFRN 1999 (as amended) and is thereby unconstitutional, wrongful, unfounded in law, null, void and of no effect whatsoever.
The Claimant by a Complaint commenced this suit on the 31st March, 2017 and later amended against the Defendants as follows: A Declaration that the purported dismissal of the Claimant being subsequent to the Claimant’s resignation is unconstitutional, null and void. An Order directing the Defendant to tender an unreserved apology to the Claimant for the purported dismissal which is fictitious, false and mendacious. The sum of N10 million being general damages for injuries suffered as a result of the purported dismissal.
Likewise, An Order directing the Defendant to pay to the Claimant his gratuity of N750, 000.00k being 50% of his annual emolument for premature retirement as contained in the bank staff manual.
The Claimant’s case is that he joined the services of the Defendant in September 1992. He was promoted to the position of an Accountant and later appointed as Ag. Managing Director in August 2007. He averred that the Defendant through the Chairman of the Board of Directors announced changes in its management structure, by which he was demoted and reassigned as Manager, Special Duty. Dissatisfied with this development, he tendered his letter of resignation as an employee of the defendant on 15/12/2008 giving 30 days’ notice as required by the terms of his employment. He alleged that the defendant had since refused or failed to pay his entitlements.
Consequent upon the above the claimant caused his solicitors, to write a letter of demand to the Defendant. He was later allegedly dismissed by the Defendant three months after he had ceased to be in the employment of the Defendant.
The Defendant averred that the claimant’s letter of resignation was never accepted as he was already facing disciplinary proceedings, and that the Staff Manual referred to by the Claimant does not apply and that he was not entitled to any sitting allowances or allowance for premature retirement.
It was pursuant to this issue of “unauthorized overdraft” and the failure of the Claimant to recover the outstanding loans/overdraft that he was later dismissed.
Finally, the Defendants averred that the Claimant is not entitled to any of the claims due to very poor performance arising from the several unauthorised credit facilities he single-handedly granted and which were not recovered and therefore urged the court to dismiss the Claimant’s suit with substantial costs.
The Defendant raised a preliminary objection on the ground that this Court lacks jurisdiction to entertain this matter because it is statute barred, and the court in a well-considered ruling thereafter dismissed the objection and affirmed jurisdiction to entertain the matter.
Counsel submitted that the dismissal of the Claimant by the Defendant was a natural consequence of his misconduct and the Defendant properly and validly exercised its right to summarily dismiss the Claimant from its service.
Learned counsel to the defendant also submitted that the Defendant was within his right to reject the purported resignation because it was done in bad faith and most importantly it is firmly settled that an employee facing disciplinary process can no longer resign from his employment.
O.C Onehidebro Esq. of counsel for the claimant argued that there is absolute power to resign and no discretion to refuse to accept the notice of resignation.
After careful evaluation of all the processes filed, and the submissions of the learned Counsel from both sides. The Court presided by Hon. Justice A. A. Adewemimo expressed thus;
“The current trend in Labour law as highlighted in the reasoning and authorities cited above is that a letter of resignation determines the employment relationship, and a rejection of a letter of resignation by an employer for whatever reason amounts to unfair labour practise and is therefore unconstitutional.
“In addition there is nothing in the contract of employment that gives the Defendant the right to reject the Notice of resignation of an employee after the requisite one(1) month notice.
“I find that the Claimant had effectively resigned from the employment of the Defendant vide his letter dated 15th December 2008 with effect from 15th January 2009.
“I also find that the rejection of resignation and belated dismissal of the Claimant by the Defendant Is not only contrary to the terms and conditions of the employment but also constitutes a breach of the claimant’s fundamental right as guaranteed under the CFRN 1999 (as amended) and is thereby unconstitutional, wrongful, unfounded in law, null, void and of no effect whatsoever.
The court ordered defendant to pay claimant sum of N181, 680.00k being his net salaries for the period of December 2008 to January 15, 2009 after the deductions for tax and contributory benefit scheme within 30 days failure of which it shall attract 10% interest.
His Lordship declined other reliefs for lacking merit.
